Alliance Pipeline Ltd.

Calgary, Canada

Alliance Pipeline Ltd.

Calgary, Canada
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News Article | April 17, 2017
Site: www.marketwired.com

CALGARY, ALBERTA--(Marketwired - April 17, 2017) - Enbridge Income Fund Holdings Inc. (TSX:ENF) (the Company) announced today that its Board of Directors has declared a cash dividend of $0.1711 per common share (Share) to be paid on May 15, 2017 to shareholders of record at the close of business on May 1, 2017. This dividend is designated eligible dividends for Canadian tax purposes that qualify for the enhanced dividend tax credit. Eligible shareholders may participate in the Company's Dividend Reinvestment Plan ("DRIP"), where they may elect, without brokerage fees, to automatically reinvest their dividends in additional Shares at a 2% discount to the Share price. Details of the DRIP are available on the Company's website. Shareholders who wish to participate in the DRIP should contact their investment dealer for further information and to enroll. The Shares trade on the TSX under the symbol ENF. Enbridge Income Fund Holdings Inc. is a publicly traded corporation. The Company, through its investment in Enbridge Income Fund indirectly holds high quality, low- risk energy infrastructure assets. The Fund's assets consist of a portfolio of Canadian liquids transportation and storage businesses, including the Canadian Mainline, the Regional Oil Sands System, the Canadian segment of the Southern Lights Pipeline, Class A units entitling the holder to receive defined cash flows from the US segment of the Southern Lights Pipeline, a 50 percent interest in the Alliance Pipeline, which transports natural gas from Canada to the U.S., and interests in more than 1,400 MW of renewable and alternative power generation assets. Information about Enbridge Income Fund Holdings Inc. is available on the Company's website at www.enbridgeincomefund.com.


News Article | May 3, 2017
Site: www.marketwired.com

CALGARY, ALBERTA--(Marketwired - May 3, 2017) - Veresen Inc. ("Veresen") (TSX:VSN) is pleased to announce that at its annual meeting of shareholders held in Calgary, Alberta on May 3, 2017, all the nominees listed in its notice of meeting and information circular dated March 14, 2017, were elected as directors of Veresen, the results being as follows: Veresen is a publicly-traded dividend paying corporation based in Calgary, Alberta that owns and operates energy infrastructure assets across North America. Veresen is engaged in three principal businesses: a pipeline transportation business comprised of interests in the Alliance Pipeline, the Ruby Pipeline and the Alberta Ethane Gathering System; a midstream business which includes a partnership interest in Veresen Midstream Limited Partnership which owns assets in western Canada, and an ownership interest in Aux Sable, which owns a world-class natural gas liquids (NGL) extraction facility near Chicago, and other natural gas and NGL processing energy infrastructure; and a power business comprised of a portfolio of assets in Canada. Veresen is also developing Jordan Cove LNG, a 7.8 million tonne per annum natural gas liquefaction facility proposed to be constructed in Coos Bay, Oregon, and the associated Pacific Connector Gas Pipeline. In the normal course of business, Veresen regularly evaluates and pursues acquisition and development opportunities. Veresen's Common Shares, Cumulative Redeemable Preferred Shares, Series A, Cumulative Redeemable Preferred Shares, Series C, and Cumulative Redeemable Preferred Shares, Series E trade on the Toronto Stock Exchange under the symbols "VSN", "VSN.PR.A", "VSN.PR.C" and "VSN.PR.E", respectively. For further information, please visit www.vereseninc.com.


CALGARY, ALBERTA--(Marketwired - May 19, 2017) - Veresen Inc. ("Veresen") (TSX:VSN) announces that its Board of Directors has declared a cash dividend for May 2017 of $0.0833 per common share. The dividend will be paid on June 23, 2017 to shareholders of record at the close of business on May 31, 2017. This dividend is designated an "eligible dividend" for Canadian income tax purposes. Veresen's Board of Directors also declared the regular quarterly cash dividend of $0.275 per share, $0.3125 per share and $0.3125 per share for the period ended June 30, 2017 on its Cumulative Redeemable Preferred Shares Series A, Series C and Series E, respectively. These dividends will be paid on June 30, 2017 to shareholders of record at the close of business on June 15, 2017. These dividends are designated an "eligible dividend" for Canadian income tax purposes. Veresen is a publicly-traded dividend paying corporation based in Calgary, Alberta that owns and operates energy infrastructure assets across North America. Veresen is engaged in three principal businesses: a pipeline transportation business comprised of interests in the Alliance Pipeline, the Ruby Pipeline and the Alberta Ethane Gathering System; a midstream business which includes a partnership interest in Veresen Midstream Limited Partnership which owns assets in western Canada, and an ownership interest in Aux Sable which owns a world-class natural gas liquids (NGL) extraction facility near Chicago and other natural gas and NGL processing infrastructure; and a power business comprised of a portfolio of assets in Canada. Veresen is also working to advance Jordan Cove LNG, a 7.8 million tonne per annum natural gas liquefaction facility proposed to be constructed in Coos Bay, Oregon, and the associated Pacific Connector Gas Pipeline. In the normal course of business, Veresen regularly evaluates and pursues acquisition and development opportunities. Veresen's Common Shares, Cumulative Redeemable Preferred Shares, Series A, Cumulative Redeemable Preferred Shares, Series C, and Cumulative Redeemable Preferred Shares, Series E trade on the Toronto Stock Exchange under the symbols "VSN", "VSN.PR.A", "VSN.PR.C" and "VSN.PR.E", respectively. For further information, please visit www.vereseninc.com.


CALGARY, ALBERTA--(Marketwired - April 21, 2017) - Enbridge Income Fund Holdings Inc. (TSX:ENF) will hold its Annual Meeting of Shareholders in Calgary, Alberta on Thursday, May 11, 2017. A live audio webcast of the Annual Meeting will be available at enbridgeincomefund.com/agmwebcast. A webcast replay will be available on the Company's website approximately two hours following the event. An mp3 and transcript will be posted to the website shortly thereafter. Members of the media interested in attending the meeting in person are asked to please register in advance by calling the Enbridge Media Line at 888-992-0997. For additional information on the Annual Meeting of Shareholders, including voting and attendance procedures please refer to enbridgeincomefund.com/agminfo. Enbridge Income Fund Holdings Inc. is a publicly traded corporation. EIFH, through its investment in Enbridge Income Fund indirectly holds high quality, low-risk energy infrastructure assets. Enbridge Income Fund's assets consist of a portfolio of Canadian liquids transportation and storage businesses, including the Canadian Mainline, the Regional Oil Sands System, the Canadian segment of the Southern Lights Pipeline, Class A units entitling the holder to receive defined cash flows from the US segment of the Southern Lights Pipeline, a 50 percent interest in the Alliance Pipeline, which transports natural gas from Canada to the U.S., and interests in more than 1,400 MW of renewable and alternative power generation assets. Information about Enbridge Income Fund Holdings Inc. is available on EIFH's website at www.enbridgeincomefund.com.


Storm has also filed its unaudited condensed interim consolidated financial statements as at March 31, 2017 and for the three months then ended along with Management's Discussion and Analysis ("MD&A") for the same period. This information appears on SEDAR at www.sedar.com and on Storm's website at www.stormresourcesltd.com. Selected financial and operating information for the three months ended March 31, 2017 appears below and should be read in conjunction with the related financial statements and MD&A. Storm's land position at Umbach is prospective for liquids-rich natural gas from the Montney formation and currently totals 109,000 net acres (155 net sections). To date, Storm has drilled 59 horizontal wells (55.4 net). Production in the first quarter of 2017 was 16,582 Boe per day and liquids recovery was 36 barrels per Mmcf sales with 60% being higher priced field condensate plus pentanes recovered at the gas plant. Compared to the previous quarter, production increased by 28% while liquids recovery was the same. During the first quarter, six horizontal wells (6.0 net) were drilled, four horizontal wells (4.0 net) were completed and five horizontal wells (5.0 net) started production. At the end of the quarter, there was an inventory of ten horizontal wells (10.0 net) that had not started producing which included two completed wells. Activity in the second quarter of 2017 will include completing four to six horizontal wells (4.0 to 6.0 net). Field compression totals 115 Mmcf per day raw gas after start-up of a third facility on January 12, 2017. Throughput in the first quarter averaged 88 Mmcf per day raw gas. The third facility had a final cost of $24.6 million for initial capacity of 35 Mmcf per day and will be expanded to 70 Mmcf per day by adding a second compressor for an additional $7.0 million. Preliminary timing for the expansion is the first half of 2018 and, once completed, total capacity will be 150 Mmcf per day which supports growth in corporate production to approximately 27,000 Boe per day. Raw gas from Storm's field compression facilities is sent to the McMahon and Stoddart Gas Plants where firm processing commitments average 75 Mmcf per day raw gas in 2017. On January 1, 2017, a new processing arrangement started at the McMahon Gas Plant which has a total commitment of 65 Mmcf per day of raw gas for 5 to 15 years and has reduced corporate production costs in the first quarter by 16% from the fourth quarter of 2016. The arrangement supports future growth with an option to increase contracted capacity and allows continued diversification of natural gas sales with access to three sales pipelines (Alliance Pipeline to Chicago, TCPL system to AECO, T-north to BC Station 2). A summary of horizontal well performance and costs is provided below. Three of the wells completed in 2017 have started producing and have 30 to 60 days of history. The majority of wells are rate restricted when coming on production to control fluid rates and adding frac stages has increased 'flush' production, therefore, additional production data is required to get an indication as to longer term performance. Future horizontal wells are expected to have completed lengths of 1,700 to 2,100 metres with the newest ball drop completion systems allowing for up to 44 fracs within 4.5 inch casing. * 2014 wells exclude a middle Montney well (this table provides analysis of upper Montney wells only). Storm has a 100% working interest in 119 sections in the Horn River Basin (78,000 net acres) which are prospective for natural gas from the Muskwa, Otter Park and Evie/Klua shales. Storm's one horizontal well averaged 302 Boe per day in the first quarter (previous quarter averaged 310 Boe per day). Cumulative production to date from this well is 5.5 Bcf raw. Commodity price hedges are used to support longer term growth by providing some certainty regarding future revenue and funds flow. The objective is to hedge 50% of most recent quarterly or monthly production for the next 12 months and 25% for 13 to 24 months forward. Anticipated production growth is not hedged. The WTI price is also hedged given that approximately 80% of Storm's liquids production is priced in reference to WTI (condensate, plant pentane and butane). The hedge position is updated periodically in the presentation posted on Storm's website. Approximately 43% of forecast 2017 production is currently hedged. The Company also has natural gas price differential hedges in place (Chicago - AECO and AECO - BC Station 2) with details provided in the notes to the interim consolidated financial statements. The strategy with respect to natural gas transportation commitments is to mitigate risk by diversifying sales and selling at multiple points. In the first quarter of 2017, 62% of natural gas sales were at Chicago, 32% at BC Station 2 and 6% at Alliance Transfer Point ("ATP"). Approximately 82% of forecast natural gas production in 2017 is covered by firm transportation commitments with the remainder directed to Chicago and/or BC Station 2 using interruptible pipeline capacity (sales point depends on price). Note that the cost of transportation to Chicago and ATP on the Alliance Pipeline is presented as a deduction from revenue with $7.3 million deducted from revenue in the first quarter of 2017. Further information on pipeline tariffs and price deductions is provided in the presentation on Storm's website. On May 16, 2017, Mr. Michael Hearn will assume the role of Chief Financial Officer and will replace Mr. Donald McLean who has been associated with Storm and its predecessor companies for 17 years. Mr. Hearn is a Chartered Accountant with 14 years of experience and joined Storm on November 1, 2016 after six years with an independent energy investment bank with his last position being equity research analyst. Prior to that, Mr. Hearn was employed at a junior international producer and also spent six years at a multi-national accounting firm. On May 16, 2017, Ms. Emily Wignes will assume the role of Vice President, Finance and will replace Mr. John Devlin who has been associated with Storm and its predecessor companies for 13 years. Ms. Wignes is a Chartered Accountant with 15 years of experience and joined Storm on December 1, 2016 after two years at an intermediate producer where her most recent position was Manager, Financial Reporting. Prior to that, Ms. Wignes was employed at other intermediate and large producers and prior thereto at a multi-national accounting firm. Both Mr. Donald McLean and Mr. John Devlin will continue to provide advisory services on an as needed basis in the near term. Their contributions to Storm and its predecessor companies have been significant and much appreciated. For the second quarter of 2017, production is anticipated to be 14,000 to 15,000 Boe per day which includes the effect of a maintenance turnaround at the McMahon Gas Plant which will result in approximately 75% of Storm's production being shut in for 21 days. Note that production in April averaged approximately 18,400 Boe per day based on field estimates. Capital investment in the second quarter is expected to be approximately $13 to $18 million which includes completing four to six horizontal wells at Umbach. Guidance for 2017 includes an increase to forecast production as a result of well performance exceeding expectations and a reduction to forecast royalty rates. As well, forecast commodity prices are updated to reflect actual first quarter pricing. There is flexibility to adjust 2017 capital investment depending on commodity prices and funds flow which may affect forecast production. The current hedge position will provide some cushion in the event of a material decline in commodity prices. Note that some cost inflation is expected based on 2017 first quarter results and capital investment assumes the cost to drill and complete a horizontal well at Umbach is $4.3 million, an increase of 13% from the 2016 actual cost. The outlook for natural gas prices remains positive as a result of a growing supply/demand deficit in the United States. Data from the Energy Information Administration ("EIA") shows 2016 demand (consumption) exceeded supply (dry gas production plus net imports) by 0.9 Bcf per day. So far in 2017, January and February supply is 1.1 Bcf per day lower than the 2016 average which further widens the deficit. Longer term, demand continues to increase as a result of five LNG export facilities currently operating or under construction on the US Gulf Coast. In addition, US pipeline capacity to Mexico is expected to increase by more than 6 Bcf per day by the end of 2018 from six new pipelines. Most of Storm's firm transportation commitments have been added over the last two years with the intent of reducing risk by diversifying natural gas sales (not betting for or against pricing in any single market). A good example supporting the diversification of sales is the continued narrowing of the AECO - BC Station 2 price differential which is contrary to the consensus view that the differential would widen with continued production growth from northeast British Columbia ("NE BC"). Since late 2015, the differential has narrowed to average -$0.19 per GJ in the first quarter of 2017 versus -$0.41 per GJ in 2016 and -$0.85 per GJ in 2015. Although production growth has continued, the differential has not been impacted as most of the growth has been directed onto the TCPL system to AECO (the differential can be temporarily affected by outages and/or constraints on the TCPL system or Alliance Pipeline where more natural gas is redirected to BC Station 2). Also helping was the Alliance Pipeline re-contracting in late 2015 where most of the capacity was taken up by producers instead of marketers. TCPL is planning to further increase capacity out of NE BC with the North Montney extension which adds 1.5 Bcf per day of takeaway in early 2019 if a variance application is approved by the National Energy Board ("NEB"). It is unlikely that production can grow this much over the next two years, so some of the incremental volume for this expansion is likely to be sourced from natural gas redirected away from BC Station 2 which further supports a narrower differential. In the first quarter of 2017, approximately 32% of Storm's natural gas sales benefitted from the narrowing differential. There continues to be an effort directed toward reducing Storm's cost structure to improve competitiveness in the continuing lower price environment. Production costs per Boe have decreased by 16% from the fourth quarter of 2016 with the new processing arrangement at Umbach. Further reductions in per-Boe costs are expected with continued production growth at Umbach. Reserve addition costs are being reduced with longer horizontal wells that access more gas in place plus adding fracs on tighter spacing is increasing recovery. Recent results from longer 2017 wells are encouraging and further improvement is expected as longer wells are drilled and brought on production. Current commodity prices are supportive of the near-term plan to grow average 2017 production by more than 30% from 2016 levels by investing $75 to $80 million which will result in year-end net debt of approximately $95 to $100 million, a year-over-year increase of 5% to 10%. The preliminary plan for 2018 is for a further 25% to 35% increase in production volumes. Growth in 2017 and 2018 is further supported by firm transportation commitments, hedging and the infrastructure at Umbach which supports growth to 27,000 Boe per day (after adding a second compressor at the third field compression facility). With a large resource in the Montney at Umbach offering multiple years of drilling inventory, the objective remains to grow net asset value for shareholders by converting the resource into production and funds flow growth on a per-share basis. Boe Presentation - For the purpose of calculating unit revenues and costs, natural gas is converted to a barrel of oil equivalent ("Boe") using six thousand cubic feet ("Mcf") of natural gas equal to one barrel of oil unless otherwise stated. Boe may be misleading, particularly if used in isolation. A Boe conversion ratio of six Mcf to one barrel ("Bbl") is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. All Boe measurements and conversions in this report are derived by converting natural gas to oil in the ratio of six thousand cubic feet of gas to one barrel of oil. Mboe means 1,000 Boe. Non-GAAP Measures - This document contains the terms "debt including working capital deficiency", "field operating netbacks", "field operating netbacks including hedging", the terms "cash" and "non-cash", "cash costs", and measurements "per commodity unit" and "per Boe" which are not recognized under Generally Accepted Accounting Principles ("GAAP") and are regarded as non-GAAP measures. These non-GAAP measures may not be comparable to the calculation of similar amounts for other entities and readers are cautioned that use of such measures to compare enterprises may not be valid. Non-GAAP terms are used to benchmark operations against prior periods and peer group companies and are widely used by investors, analysts and other parties. These measurements are also used by lenders to measure compliance with debt covenants and thus set interest costs. Additional information relating to certain of these non-GAAP measures can be found in Storm's MD&A for the three months ended March 31, 2017, which is available on Storm's SEDAR profile at www.sedar.com and on Storm's website at www.stormresourcesltd.com. Oil and Gas Metrics - This press release may contain a number of oil and gas metrics, including FD&A, recycle ratio, FDC, and reserves life index or RLI, which do not have standardized meanings or standard methods of calculation and therefore such measures may not be comparable to similar measures used by other companies. Such metrics have been included herein to provide readers with additional measures to evaluate the Company's performance; however, such measures are not reliable indicators of the future performance of the Company and future performance may not compare to the performance in previous periods. Initial Production Rates - References in this press release to initial production rates, and other short-term production rates are useful in confirming the presence of hydrocarbons, however such rates are not determinative of the rates at which such wells will commence production and decline thereafter and are not indicative of long term performance or of ultimate recovery. Additionally, such rates may also include recovered "load oil" fluids used in well completion stimulation. Readers are cautioned not to place reliance on such rates in calculating the aggregate production for the Company. A pressure transient analysis or well-test interpretation has not been carried out in respect of all wells. Accordingly, the Company cautions that the test results should be considered to be preliminary. DPIIP - Original Oil in Place (OOIP) is the equivalent to Discovered Petroleum Initially In Place (DPIIP) for the purposes of this press release. DPIIP is defined as quantity of hydrocarbons that are estimated to be in place within a known accumulation. There is no certainty that it will be commercially viable to produce any portion of the resources. A recovery project cannot be defined for this volume of DPIIP at this time, and as such it cannot be further sub-categorized. Forward-Looking Information - This press release contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words "will", "would", "expect", "anticipate", "intend", "believe", "plan", "potential", "outlook", "forecast", "estimate", "budget" and similar expressions are intended to identify forward-looking statements or information. More particularly, and without limitation, this press release contains forward-looking statements and information concerning: production; drilling and completion plans; the third field compression facility and expansion plans in connection therewith; the January 2017 transportation arrangement; hedging; transportation; organizational and personnel changes; 2017 and 2018 guidance in respect of certain operational and financial metrics, including, but not limited to, commodity pricing, estimated average operating costs, estimated average royalty rate, estimated operations capital, estimated general and administrative costs, estimated quarterly and annual production and estimated number of Umbach horizontal wells drilled, completed and connected, capital investment plans, infrastructure plans, anticipated United States exports, pipeline capacity, price volatility mitigation strategy and cost reductions. Statements of "reserves" are also deemed to be forward-looking statements, as they involve the implied assessment, based on certain estimates and assumptions, that the reserves described exist in the quantities predicted or estimated and that the reserves can be profitably produced in the future. The forward-looking statements and information in this press release are based on certain key expectations and assumptions made by Storm, including: prevailing commodity prices and exchange rates; applicable royalty rates and tax laws; future well production rates; reserve and resource volumes; the performance of existing wells; success to be expected in drilling new wells; the adequacy of budgeted capital expenditures to carrying out planned activities; the availability and cost of services; and the receipt, in a timely manner, of regulatory and other required approvals. Although the Company believes that the expectations and assumptions on which such forward-looking statements and information are based are reasonable, undue reliance should not be placed on these forward-looking statements and information because of their inherent uncertainty. In particular, there is no assurance that exploitation of the Company's undeveloped lands and prospects will result in the emergence of profitable operations. Since forward-looking statements and information address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to the risks associated with the oil and gas industry in general such as: general economic conditions in Canada, the United States and internationally; operational risks in development, exploration and production; delays or changes in plans with respect to exploration or development projects or capital expenditures; the uncertainty of reserve estimates; the uncertainty of estimates and projections relating to reserves, production, costs and expenses; health, safety and environmental risks; commodity price and exchange rate fluctuations; marketing and transportation of petroleum and natural gas and loss of markets; competition; ability to access sufficient capital from internal and external sources; geopolitical risk; stock market volatility; and changes in legislation, including but not limited to tax laws, royalty rates and environmental regulations. Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on these and other factors that could affect the operations or financial results of the Company are included or are incorporated by reference in the Company's Annual Information Form and the MD&A. The forward-looking statements and information contained in this press release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements or information, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws. NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS PRESS RELEASE.


News Article | May 11, 2017
Site: www.marketwired.com

Enbridge Inc. (« Enbridge » ou la « société ») (TSX:ENB)(NYSE:ENB) a annoncé aujourd'hui un BAII ajusté de 1 515 M$ pour le premier trimestre de 2017. Les FTDLE se sont établis à 1 215 M$, ou 1,03 $ par action ordinaire, au premier trimestre. Ces résultats reflètent environ un mois d'apports financiers des actifs acquis dans le cadre de l'opération de fusion avec Spectra Energy, close le 27 février 2017. Les FTDLE par action pour le premier trimestre de 2017 ont été inférieurs à ceux du premier trimestre de 2016 en raison d'un certain nombre de facteurs, dont le moment de la clôture du regroupement avec Spectra Energy, l'incidence de températures supérieures à la normale dans les zones de franchise de distribution de gaz de la société et les opérations effectuées en 2016 afin de solidifier le bilan. L'effet des actions émises à la clôture de l'opération de fusion est amplifié en raison du fait que les actifs existants de Spectra Energy contribuent d'ordinaire une proportion disproportionnée (de 25 % à 30 %) des FTDLE annuels au cours des deux premiers mois de l'exercice. L'incidence des répartitions des liquides sur le réseau principal sur le rendement des pipelines en aval et les changements dans le taux de couverture effectif ont également influé sur les résultats trimestriels. L'apport des FTDLE au secteur Oléoducs devrait augmenter au cours des trimestres à venir compte tenu des optimisations prévues de la capacité, de la hausse du taux de change de couverture et de l'incidence des flux de trésorerie supplémentaires provenant des nouveaux projets mis en service. Pour l'avenir, la société s'attend à générer, sur une base consolidée, des FTDLE par action entre 3,60 $ et 3,90 $ pour l'exercice 2017 complet. Cette fourchette prévue reflète, entre autres facteurs, l'incidence positive de la vigueur soutenue des volumes de débit de pétrole brut sur le réseau principal; la contribution sur l'exercice complet des 2 G$ de nouveaux projets de croissance ayant été mis en service en 2016 et celle, sur une partie de l'exercice, des plus de 13 G$ de nouveaux projets de croissance prévus en 2017; la hausse additionnelle des tarifs de base des services publics, principalement compensée en partie par l'effet saisonnier de la clôture de l'opération de fusion avec Spectra Energy décrite plus haut; le report précédemment annoncé au 1er décembre 2017 de la mise en service du projet de prolongement du pipeline Wood Buffalo, exigé par les expéditeurs; et le temps doux du premier trimestre. « Nous sommes très satisfaits d'avoir clos la fusion avec Spectra Energy au premier trimestre et nous sommes maintenant en bonne position pour exploiter les avantages stratégiques et financiers de l'opération, a déclaré Al Monaco, président et chef de la direction d'Enbridge Inc. Compte tenu des ajustements liés au moment de l'opération et des autres facteurs susmentionnés, nos objectifs pour l'exercice 2017 complet et nos perspectives d'avenir demeurent conformes à nos hypothèses originales et à nos attentes pour Enbridge postérieurement à la fusion avec Spectra. L'intégration des entreprises va bon train, et nous avons fait des progrès rapides en matière de synergie. » Enbridge poursuit l'exécution de son programme de dépenses en immobilisations de croissance de 27 G$ garanti sur le plan commercial, et la société a mis pour 2,4 G$ de projets en service jusqu'à maintenant en 2017, dont le jumelage du pipeline Athabasca, le pipeline de diluants Norlite et le prolongement du gazoduc de Jackfish Lake. Ces projets sont tous appuyés par des contrats d'achat ferme à faible risque ou des ententes commerciales similaires qui généreront du bénéfice et des flux de trésorerie hautement prévisibles. D'ici la fin de l'exercice, la société prévoit la mise en service de projets de croissance d'une valeur additionnelle de 11 G$, puis de 4 G$ supplémentaires en 2018. Étant donné le moment d'exécution et le profil de rendement de ces projets, leurs incidences sur le bénéfice et les flux de trésorerie se feront pleinement sentir à compter de 2018. En février 2017, Enbridge a ajouté le projet éolien extracôtier de Hohe See, en Allemagne, à son portefeuille de projets garantis sur le plan commercial. À titre de l'un des promoteurs, Enbridge participera à la construction et à l'exploitation du projet dont la mise en service devrait avoir lieu vers la fin de 2019 et dans lequel elle investira au total de 1,7 G$ (1,07 GEUR). Toujours en février 2017, Enbridge a réalisé l'acquisition d'une participation de 27,6 % dans le réseau pipelinier Bakken, qui comprend le projet de pipeline Dakota Access et d'oléoduc Energy Transfer, et relie la riche formation de Bakken, dans le Dakota du Nord, au district PADD II de l'est des États-Unis et à la côte américaine du golfe du Mexique. La mise en service de ces pipelines est prévue pour le deuxième trimestre de 2017. Le 25 avril 2017, Enbridge a lancé un appel de soumissions exécutoires concernant son réseau pipelinier T-South en Colombie-Britannique pour un accroissement de capacité de 190 Mpi3/j de gaz naturel sur le marché Huntington-Sumas à la frontière canado-américaine. Le volume transporté par le réseau est entièrement visé par des contrats, et une expansion est nécessaire pour répondre à la demande croissante des clients par suite de la production en croissance rapide dans les régions prolifiques de Montney et Duvernay. Le projet comprendrait le doublage du réseau T-South et des mises à niveau aux installations de compression le long du réseau pipelinier au coût d'environ 1 G$. Sous réserve de l'issue de l'appel de soumissions, le projet pourrait être mis en service au plus tard à la fin de 2020. « Ces récents faits saillants témoignent de l'ampleur et de la diversité de nos occasions de croissance », a fait remarquer M. Monaco. « Le réseau pipelinier Bakken accroît notre présence dans la région de Bakken et sur la côte américaine du golfe du Mexique, et aura pour effet de hausser immédiatement les FTDLE en 2017. Le projet éolien extracôtier de Hohe See est un exemple des occasions de croissance qui se présentent à nous dans ce secteur en Europe. Et, par l'entremise de notre processus d'appel de soumissions précoce pour notre réseau de l'Ouest canadien, nous attendons une forte demande sur le pipeline T-South, compte tenu des solides facteurs fondamentaux soutenant une production accrue de gaz naturel dans les régions de Montney et Duvernay. » Au premier trimestre de 2017, Enbridge a amélioré encore davantage ses liquidités et sa souplesse financière en réunissant un montant additionnel de 0,2 G$ en facilités de crédit engagées et près de 0,3 G$ en nouveaux capitaux au moyen de ses programmes de réinvestissement de dividendes, de dividendes versés en nature et d'achat d'actions au cours du marché offert par le groupe d'Enbridge. En mars 2017, la société a assemblé des fonds supplémentaires en vendant le pipeline Ozark pour un produit net d'environ 0,3 G$. En outre, Enbridge a mobilisé environ 0,6 G$ de capitaux en vendant une partie de sa participation dans le groupe du fonds dans le cadre d'un placement secondaire d'actions d'ENF. L'opération était conforme à l'objectif préalablement communiqué de la société d'accroître graduellement, au fil du temps, la participation économique publique dans le groupe du fonds à hauteur de 20 % ainsi que d'augmenter la capitalisation boursière et la liquidité sur les marchés d'ENF. Enbridge détient actuellement une participation de 84,6 % dans le groupe du fonds, et elle prévoit conserver une participation considérable. Au moment de l'annonce de la fusion avec Spectra Energy en 2016, Enbridge a aussi fait part de son intention de se dessaisir d'actifs pour un montant de 2 G$ afin de renforcer son bilan et d'accroître la souplesse financière de la société issue du regroupement. Par le truchement de la vente du pipeline Ozark, du placement secondaire d'actions d'ENF et de la vente d'autres actifs au quatrième trimestre de 2016, la société s'est dessaisie d'environ 2,3 G$ d'actifs, dépassant ainsi son objectif antérieurement annoncé. Restructuration et simplification des entités détenues à titre de promoteur La société est d'avis que des entités bien structurées continueront d'être une autre source de financement intéressante et un moyen efficace de rehausser la valeur et le rendement des infrastructures énergétiques du groupe d'Enbridge dans son ensemble. Au cours des derniers mois, la société a pris plusieurs mesures pour renforcer et simplifier les entités qu'elle détient à titre de promoteur, à savoir la structure de DCP Midstream Partners, L.P. et la privatisation de Midcoast Energy Partners, L.P. Le 28 avril 2017, la société a annoncé les résultats de l'examen stratégique d'EEP, qui ont donné lieu à la mise en œuvre d'un certain nombre de mesures de restructuration dans le but d'améliorer la situation commerciale et financière d'EEP, et de rétablir son efficacité d'entité détenue à titre de promoteur. Grâce à ces mesures, EEP deviendra une société en commandite principale autofinancée entièrement axée sur les oléoducs, dotée d'un modèle d'entreprise à faible risque, dont la croissance interne est intégrée et hautement visible, et les notations de crédit, de première qualité. Au sujet des conclusions de l'examen stratégique d'EEP, M. Monaco a précisé : « EEP détient des infrastructures essentielles de longue durée parmi les plus stratégiques d'Amérique du Nord et de la plus haute qualité qui soit. Les mesures de restructuration positionneront EEP de manière à créer de la valeur à long terme tant pour ses porteurs de parts que pour Enbridge. » En janvier 2017, Enbridge a annoncé qu'elle majorait de 10 % du dividende trimestriel sur ses actions ordinaires, le faisant passer à 0,583 $ par action. La société marquait ainsi la vingt-deuxième majoration annuelle du dividende. Le 4 mai 2017, comme elle l'avait envisagé, Enbridge a de nouveau majoré son dividende trimestriel sur les actions ordinaires d'environ 5 % pour le faire passer à 0,61 $ par action. Avec ces deux majorations, le dividende dépasse d'environ 15 % le dividende trimestriel par action ordinaire versé en 2016. « Notre confiance dans une augmentation de 15 % du dividende trimestriel par action cette année traduit la vigueur et la stabilité de notre portefeuille d'actifs, de même que nos perspectives d'avenir très positives pour la société issue du regroupement, indique M. Monaco. À long terme, la solidité et la diversité de nos actifs existants, alliées à nos six plateformes de croissance solides, permettront à Enbridge d'assurer la croissance du dividende dans la fourchette de 10 % à 12 % par an jusqu'en 2024. » Et M. Monaco de conclure : « Nous croyons fermement que la société issue du regroupement, grâce à son modèle d'entreprise à faible risque et à ses plateformes de croissance diversifiées, pourra créer une valeur solide pour toutes ses parties prenantes au-delà de la prochaine décennie. » Pour un complément d'information sur les projets de croissance et les résultats d'exploitation d'Enbridge Inc. (« Enbridge » ou la « société »), prière de consulter le rapport de gestion déposé sur SEDAR et sur EDGAR, et disponible également sur le site Web de la société au www.enbridge.com/InvestorRelations.aspx. Pour le trimestre clos le 31 mars 2017, le BAII s'est établi à 1 629 M$ comparativement à 2 176 M$ pour le trimestre clos le 31 mars 2016. Ainsi qu'il est commenté à la rubrique BAII ajusté, le bénéfice du premier trimestre de 2017 a profité de l'incidence positive des nouveaux actifs issus de l'opération de fusion réalisée le 27 février 2017. La diminution du BAII d'un trimestre à l'autre est largement imputable au secteur Oléoducs, dont le BAII ajusté a été moins élevé pour le trimestre clos le 31 mars 2017, en raison principalement de la baisse du taux de change effectif, de la cession de certains actifs du secteur Oléoducs et d'une modification de la politique de normalisation pour la constatation des droits de rattrapage. Le BAII pour le reste de l'exercice devrait subir l'incidence positive de l'optimisation du débit sur le réseau principal et des nouveaux projets qui seront mis en service en 2017. La comparabilité des résultats de la société d'un trimestre à l'autre subit également l'effet de plusieurs facteurs inhabituels, non récurrents ou hors exploitation qui sont énumérés dans les tableaux sur le rapprochement des mesures non conformes aux PCGR et analysés dans les résultats de chaque secteur, les plus importants étant les variations des gains et des pertes non réalisés liés à la juste valeur d'instruments dérivés. Pour le trimestre clos le 31 mars 2017, le BAII de la société rendait compte de gains non réalisés liés à la juste valeur d'instruments dérivés de 416 M$, comparativement à des gains non réalisés liés à la juste valeur d'instruments dérivés de 932 M$ inscrits pour la période correspondante de 2016. La société dispose d'un programme exhaustif de couverture économique à long terme destiné à atténuer les risques de taux d'intérêt et de change et les risques liés au prix des marchandises, qui sont source de volatilité pour le bénéfice à court terme. À long terme, Enbridge estime que son programme de couverture soutiendra la croissance fiable des flux de trésorerie et des dividendes sur laquelle repose sa proposition de valeur aux investisseurs. Pour le premier trimestre de 2017, le BAII rendait compte également de charges de 152 M$ (111 M$ après impôts) relatives aux coûts liés à l'opération de fusion, ainsi que des coûts de séparation versés aux salariés de 129 M$ (92 M$ après impôts) liés aux compressions de personnel effectuées à l'échelle de la société en mars 2017 dans le cadre de la réalisation de l'opération de fusion. Pour le trimestre clos le 31 mars 2017, le bénéfice attribuable aux porteurs d'actions ordinaires s'est chiffré à 638 M$ (bénéfice de 0,54 $ par action ordinaire), contre un bénéfice de 1 213 M$ (bénéfice de 1,38 $ par action ordinaire) pour le trimestre clos le 31 mars 2016. Ainsi qu'il est commenté de façon plus détaillée à la rubrique BAII ajusté, le bénéfice du premier trimestre a profité de l'incidence positive des actifs acquis dans le cadre de l'opération de fusion réalisée le 27 février 2017. En plus des facteurs évoqués à la rubrique BAII plus haut et aux rubriques BAII ajusté et Bénéfice ajusté plus loin, la comparabilité d'un trimestre à l'autre du bénéfice attribuable aux porteurs d'actions ordinaires a subi l'effet de plusieurs facteurs inhabituels, non récurrents ou hors exploitation résumés à la rubrique Rapprochement des mesures non conformes aux PCGR - BAII et bénéfice ajusté. La baisse du bénéfice par action ordinaire pour le trimestre clos le 31 mars 2017, comparativement à la période correspondante de 2016, reflétait également l'émission d'environ 691 millions d'actions ordinaires en février 2017 en guise de contrepartie pour l'opération de fusion ainsi que d'autres émissions d'environ 75 millions d'actions ordinaires en 2016, dont 56 millions d'actions ordinaires émises en mars 2016. Pour le trimestre clos le 31 mars 2017, le BAII ajusté a atteint 1 515 M$, une hausse de 141 M$ comparativement à la période correspondante de 2016. Le BAII ajusté du premier trimestre de 2017 rendait compte des résultats d'exploitation de 33 jours provenant des nouveaux actifs intégrés dans le cadre de l'opération de fusion réalisée le 27 février 2017. Les apports provenant de ces nouveaux actifs ont été le facteur déterminant de la croissance du BAII ajusté consolidé d'un trimestre à l'autre. La croissance du BAII ajusté consolidé a été plus prononcée dans le secteur Gazoducs et traitement, où est consigné l'essentiel des nouveaux actifs acquis dans le cadre de l'opération de fusion. La croissance de ce secteur d'un trimestre à l'autre a également rendu compte de l'apport des usines Tupper Main et Tupper West acquises en avril 2016, ainsi que de la hausse du BAII ajusté d'Alliance Pipeline attribuable à la forte demande de service garanti saisonnier au premier trimestre de 2017. Le BAII ajusté du secteur Oléoducs a été moins élevé pour le premier trimestre de 2017 que pour la période correspondante de 2016, en raison de plusieurs facteurs, notamment la baisse d'un trimestre à l'autre du taux de couverture de change utilisé pour comptabiliser les produits d'exploitation du réseau principal au Canada. Les droits repères aux termes du TIC et leurs composantes sont établis en dollars américains, et le risque de change sur les produits d'exploitation du réseau principal au Canada de la société est couvert en majeure partie. Le taux de couverture effectif pour la conversion des produits tirés d'opérations en dollars américains du réseau principal au Canada pour le premier trimestre de 2017 était de 1,04 $ contre 1,11 $ pour la période correspondante de 2016. De plus, le taux de change du dollar canadien auquel sont converties les opérations aux États-Unis s'est raffermi pour passer de 1,37 $ au premier trimestre de 2016 à 1,32 $ pour la période correspondante en 2017. La vente de certains actifs, la réduction des surcharges sur le réseau Bakken et la diminution des apports de l'installation ferroviaire d'EEP en raison de l'expiration des contrats ont contribué à faire reculer le BAII d'un trimestre à l'autre. Par ailleurs, le BAII des réseaux du milieu du continent et de la côte du golfe du Mexique aux États-Unis était moins élevé au premier trimestre de 2017, car depuis le 1er janvier 2017, pour déterminer son BAII ajusté, la société n'ajuste plus les produits reportés découlant de certains contrats d'achat ferme assortis de droits de rattrapage. Le BAII pour le reste de l'exercice devrait subir l'incidence positive de l'optimisation du débit sur le réseau principal et des nouveaux projets qui seront mis en service en 2017. Dans le secteur Distribution de gaz, Enbridge Gas Distribution Inc. (« EGD ») a généré un BAII ajusté moins élevé au premier trimestre de 2017 comparativement à la période correspondante de 2016, en raison principalement des produits de distribution moins élevés, imputables au temps plus chaud que la normale enregistré au premier trimestre de 2017. À partir du 1er janvier 2017, EGD a cessé d'exclure de son BAII ajusté l'incidence des températures plus chaudes ou plus froides que la normale. L'incidence du temps chaud sur le BAII ajusté d'EGD pour le premier trimestre de 2017 a été d'environ 29 M$. La diminution du BAII ajusté d'EGD d'un trimestre à l'autre a été plus que compensée par les apports d'Union Gas depuis la conclusion de l'opération de fusion. À l'unité Éliminations et divers, les charges d'exploitation et d'administration plus élevées ont entraîné une augmentation de la perte ajustée d'un trimestre à l'autre. Elles ont été plus élevées au premier trimestre de 2017 du fait de la hausse des coûts liés aux technologies de l'information et aux autres services centralisés à la suite de l'intégration de Spectra Energy et en raison aussi de la diminution proportionnelle des recouvrements tirés des unités d'exploitation au cours du trimestre. Le bénéfice ajusté s'est établi à 675 M$ (bénéfice de 0,57 $ par action ordinaire) pour le trimestre clos le 31 mars 2017, contre 663 M$ (bénéfice de 0,76 $ par action ordinaire) pour le trimestre clos le 31 mars 2016. La hausse de la charge d'intérêts découlant de la dette prise en charge dans le cadre de l'opération de fusion a en partie annulé la croissance du BAII ajusté d'un trimestre à l'autre dont il est question plus haut. Les dividendes sur actions privilégiées ont également augmenté d'un exercice à l'autre en raison des actions privilégiées supplémentaires qui ont été émises au quatrième trimestre de 2016 en vue de financer en partie le programme de croissance de la société. Les impôts sur les bénéfices ont été moins élevés au premier trimestre de 2017 en dépit de l'augmentation du bénéfice ajusté d'un trimestre à l'autre, en raison de la provision au titre de l'évaluation inscrite au premier trimestre de 2016. Le bénéfice ajusté attribuable aux participations ne donnant pas le contrôle et aux participations ne donnant pas le contrôle rachetables a augmenté au premier trimestre de 2017 comparativement à la période correspondante de 2016. L'accroissement est attribuable aux nouvelles participations ne donnant pas le contrôle liées aux actifs acquis dans le cadre de l'opération de fusion et à la hausse du bénéfice attribuable aux participations ne donnant pas le contrôle en raison de la restructuration d'EEP. La charge d'intérêts, les impôts sur les bénéfices, les participations ne donnant pas le contrôle et les participations ne donnant pas le contrôle rachetables ont également subi l'incidence des ajustements effectués pour tenir compte de facteurs inhabituels, non récurrents et hors exploitation. Le bénéfice ajusté par action ordinaire pour le trimestre clos le 31 mars 2017, comparativement à la période correspondante de 2016, reflétait également l'émission d'environ 691 millions d'actions ordinaires en février 2017 en guise de contrepartie pour l'opération de fusion ainsi que d'autres émissions d'environ 75 millions d'actions en 2016, dont 56 millions d'actions ordinaires émises en mars 2016. Pour le premier trimestre de 2017, les FTDLE ont totalisé 1 215 M$, soit 1,03 $ par action ordinaire, comparativement à 1 114 M$, ou 1,27 $ par action ordinaire, au premier trimestre de 2016. La croissance des FTDLE d'un exercice à l'autre a subi l'incidence des mêmes facteurs décrits plus haut sous la rubrique BAII ajusté et d'autres facteurs dont il est question ci-dessous. Toutefois, les FTDLE par action ordinaire ont diminué d'un trimestre à l'autre, étant donné l'incidence de l'augmentation du nombre d'actions ordinaires en circulation à la suite de l'opération de fusion le 27 février 2017 et d'autres émissions 2016, dont il est question à la rubrique Bénéfice ajusté. L'augmentation des FTDLE d'un trimestre à l'autre est également attribuable aux distributions en trésorerie plus élevées découlant des participations en titres de capitaux propres de la société, dues à leur rendement d'exploitation accru ainsi qu'aux distributions de récents placements en actions faisant partie de l'opération de fusion. Les incidences positives sur les FTDLE d'un trimestre à l'autre décrites ci-dessus ont été partiellement annulées par des investissements de maintien plus élevés au premier trimestre de 2017, liés aux actifs acquis dans le cadre de l'opération de fusion et à certaines améliorations locatives dans le secteur Oléoducs. L'augmentation des FTDLE a également été en partie atténuée, d'une part par la diminution des investissements de maintien du secteur Distribution de gaz en raison d'une augmentation des coûts relatifs au programme de gestion des travaux et des actifs d'EGD en 2016, et d'autre part à cause d'une diminution - exception faite de l'incidence de l'opération de fusion - dans le secteur Gazoducs et traitement, causée par le report aux derniers trimestres de 2017 des investissements de maintien. Cette hausse des FTDLE a aussi été partiellement contrebalancée par l'augmentation de la charge d'intérêts et des dividendes sur actions privilégiées au premier trimestre de 2017, comme il en est question à la rubrique Bénéfice ajusté ci-dessus. L'augmentation des FTDLE a également été en partie atténuée par la hausse des distributions aux participations ne donnant pas le contrôle acquises dans le cadre de l'opération de fusion et aux participations ne donnant pas le contrôle rachetables dans le groupe du fonds (comprenant Enbridge Income Fund, Enbridge Commercial Trust, Enbridge Income Partners LP (« EIPLP ») et les filiales et entités détenues d'EIPLP). Les autres ajustements hors trésorerie comprennent divers éléments hors trésorerie présentés dans les états consolidés des flux de trésorerie de la société ainsi que des ajustements relatifs aux produits reportés reçus durant chaque exercice. Le présent communiqué renferme des informations prospectives, ou énoncés prospectifs, qui visent à fournir des renseignements sur la société, ses filiales et ses sociétés affiliées, notamment dans le cadre de l'analyse par la direction des projets et activités à venir d'Enbridge et de ses filiales. Ces renseignements pourraient ne pas être pertinents à d'autres fins. Généralement, les énoncés prospectifs se reconnaissent à l'emploi de verbes comme « entrevoir », « s'attendre à », « projeter », « estimer », « prévoir », « planifier », « viser », « cibler », « croire » et autres termes du genre qui laissent entendre la possibilité de résultats futurs ou certaines perspectives. Le présent document et ceux qui y sont intégrés par renvoi contiennent de l'information ou des déclarations prospectives ayant trait notamment à ce qui suit : le BAII prévu ou le BAII ajusté prévu; le bénéfice (la perte) prévu(e) ou le bénéfice (la perte) ajusté(e) prévu(e); le bénéfice (la perte) prévu(e) ou le bénéfice (la perte) ajusté(e) prévu(e) par action; les FTDLE ou les FTDLE par action prévus; les flux de trésorerie futurs prévus; la vigueur et la souplesse financières; les coûts prévus des projets annoncés et des projets en construction; les dates prévues de mise en service des projets annoncés et des projets en construction; les dépenses en immobilisations prévues; les exigences de financement par capitaux propres prévues à l'égard du programme de croissance garanti sur le plan commercial de la société; les possibilités de croissance et d'expansion; la conclusion prévue des acquisitions et des cessions; le coût estimatif et l'incidence, sur la performance financière de la société, de l'application d'une ordonnance sur consentement relative à la canalisation 6B et à la canalisation 6A; les dividendes futurs estimatifs; les prévisions du bénéfice ajusté par action; les prévisions de FTDLE par action; les prévisions de croissance des dividendes par action; les attentes quant à l'incidence du programme de couverture; les futures mesures que prendront les organismes de réglementation; les coûts prévus pour la correction de fuites et les éventuels recouvrements d'assurance; les prévisions en matière de prix des marchandises; les prévisions en matière d'offre; les attentes quant à l'incidence de l'opération de fusion, y compris l'envergure, la souplesse financière, le programme de croissance, les perspectives commerciales et la performance future de la société issue du regroupement; la politique de versement des dividendes, la croissance des dividendes et les versements prévus de dividendes; les options stratégiques évaluées actuellement dans le cadre de la stratégie visant les entités dont la société est le promoteur aux États-Unis ainsi que le cadre réglementaire et le recouvrement des frais reportés par Enbridge Gaz Nouveau-Brunswick Inc. Bien que ces énoncés prospectifs soient, de l'avis d'Enbridge, raisonnables compte tenu des renseignements disponibles à la date à laquelle ils sont présentés et des procédés utilisés pour les formuler, ils ne garantissent nullement le rendement à venir, et les lecteurs sont invités à faire preuve de prudence en ne se fiant pas outre mesure à de tels énoncés. De par leur nature, ces énoncés s'appuient sur diverses hypothèses, et ils tiennent compte de risques et d'incertitudes, connus et inconnus, ainsi que d'autres facteurs pouvant faire en sorte que les résultats réels, les niveaux d'activité et les réalisations diffèrent considérablement de ceux exprimés ou sous-entendus dans les énoncés en question. Les hypothèses importantes visent notamment : l'offre et la demande prévues de pétrole brut, de gaz naturel, de LGN et d'énergie renouvelable; les prix du pétrole brut, du gaz naturel, de LGN et de l'énergie renouvelable; les taux de change; l'inflation et les taux d'intérêt; la disponibilité et le coût de la main-d'œuvre et des matériaux de construction; la fiabilité d'exploitation; les approbations par les clients et les organismes de réglementation; le maintien du soutien et de l'approbation des organismes de réglementation pour les projets de la société; les dates prévues de mise en service; les conditions météorologiques; la concrétisation des avantages et des synergies anticipés découlant de l'opération de fusion, les lois gouvernementales, les acquisitions et le calendrier s'y rapportant; la réussite des plans d'intégration; le coût lié à l'application de l'ordonnance sur consentement relative à la canalisation 6B et à la canalisation 6A; l'incidence de la politique en matière de dividendes sur les flux de trésorerie futurs de la société; les notations de crédit; le financement des projets d'investissement; le BAII prévu ou le BAII ajusté prévu; le bénéfice (la perte) prévu(e) ou le bénéfice (la perte) ajusté(e) prévu(e); le bénéfice (la perte) prévu(e) ou le bénéfice (la perte) ajusté(e) prévu(e) par action; les flux de trésorerie futurs prévus ainsi que les FTDLE et les FTDLE par action futurs prévus; et les dividendes futurs estimatifs. Les hypothèses relatives à l'offre et à la demande prévues de pétrole brut, de gaz naturel, de LGN et d'énergie renouvelable, et aux prix de ces marchandises, sont importantes pour tous les énoncés prospectifs dont elles constituent la base. Ces facteurs sont pertinents pour tous les énoncés prospectifs puisqu'ils peuvent avoir une incidence sur les niveaux actuels et futurs de la demande pour les services de la société. Par ailleurs, les taux de change, l'inflation et les taux d'intérêt ont une incidence sur le contexte économique et le contexte des affaires dans lesquels la société évolue, peuvent se répercuter sur les niveaux de la demande pour les services de la société et le coût des intrants et sont par conséquent indissociables de tous les énoncés prospectifs. En raison des interdépendances et de la corrélation entre ces facteurs macroéconomiques, il est impossible de déterminer avec certitude, l'incidence que pourrait avoir l'une ou l'autre de ces hypothèses sur un énoncé prospectif, en particulier en ce qui concerne l'incidence de l'opération de fusion sur la société, le BAII prévu, le BAII ajusté, le bénéfice (la perte), le bénéfice (la perte) ajusté(e), les FTDLE et les montants connexes par action ou les dividendes futurs estimatifs. Voici les hypothèses les plus pertinentes associées aux énoncés prospectifs se rapportant aux projets annoncés et aux projets en construction, y compris les dates estimatives d'achèvement et les dépenses en immobilisations estimatives : la disponibilité et le prix de la main-d'œuvre et des matériaux de construction; l'incidence de l'inflation et des taux de change sur les coûts de la main-d'œuvre et des matériaux; l'incidence des taux d'intérêt sur les coûts d'emprunt; l'incidence des conditions météorologiques et l'approbation par les clients, les gouvernements et les organismes de réglementation des calendriers de construction et de mise en service; et les régimes de recouvrement des coûts. Les énoncés prospectifs d'Enbridge sont assujettis à des risques et incertitudes au sujet de l'incidence de l'opération de fusion, des prévisions du BAII ajusté, du bénéfice ajusté et du bénéfice ajusté par action, des prévisions des FTDLE et des FTDLE par action, des prévisions de croissance des dividendes par action, du rendement de l'exploitation, de la politique en matière de versement de dividendes, des paramètres de la réglementation, de l'approbation des projets et du soutien apporté à ces derniers, du renouvellement des emprises, des conditions météorologiques, de la conjoncture économique et de la situation de la concurrence, de l'opinion publique, des modifications apportées aux lois fiscales et aux taux d'imposition, des taux de change, des taux d'intérêt, des prix des marchandises, de l'offre et la demande pour les marchandises et de l'application prévue de l'ordonnance sur consentement relative à la canalisation 6B et à la canalisation 6A, notamment aux risques et incertitudes dont il est question dans le présent communiqué et dans d'autres documents déposés par la société auprès des autorités en valeurs mobilières au Canada et aux États-Unis. Il est impossible d'établir avec précision l'incidence de l'un ou l'autre de ces risques, incertitudes ou facteurs sur un énoncé prospectif particulier puisqu'ils sont interdépendants et que le plan d'action futur d'Enbridge dépend de l'évaluation, par la direction, de l'ensemble des renseignements connus à un moment ou à un autre. Sauf dans la mesure prévue par les lois pertinentes, Enbridge n'est pas tenue d'actualiser ou de réviser publiquement un énoncé prospectif présenté dans les pages du présent communiqué ou autrement, que ce soit à la lumière de nouveaux éléments d'information, de nouveaux faits ou pour quelque autre motif que ce soit. Tout énoncé prospectif ultérieur, écrit ou verbal, attribuable à Enbridge ou à quiconque agissant au nom de la société, doit être expressément considéré comme visé par la présente mise en garde. Enbridge tiendra une conférence téléphonique conjointe avec Enbridge Income Fund Holdings Inc., Enbridge Energy Partners, LP et Spectra Energy Partners, L.P. le jeudi 11 mai 2017 à 9 h, heure de l'Est (7 h, heure des Rocheuses), pour discuter des résultats du premier trimestre de 2017. Analystes, membres des médias et autres parties intéressées qui souhaitent y assister doivent composer sans frais le 1-866-215-5508 ou le 1-514-841-2157 en Amérique du Nord ou à l'extérieur de l'Amérique du Nord ainsi que le code d'accès 44798051#. La conférence sera diffusée en direct sur Internet à l'adresse http://edge.media-server.com/m/p/9gxn6d2m. Elle sera aussi reprise sur le Web quelque deux heures après sa conclusion, et sa transcription pourra être consultée sur le site Web dans les 24 heures. On pourra entendre la conférence en reprise pendant une semaine après sa diffusion en composant sans frais le 1-888-843-7419, ou le 1-630-652-3042 en Amérique du Nord ou à l'extérieur de l'Amérique du Nord (code d'accès 44798051#). Après un exposé du président et chef de la direction et du chef des finances de la société, il y aura une période de questions et réponses à l'intention des analystes en placements. Enbridge est la première société nord-américaine d'infrastructures énergétiques dotées de plateformes commerciales stratégiques comprenant un réseau étendu de pipelines de pétrole brut, de liquides et de gaz naturel, de services publics réglementés de distribution de gaz naturel ainsi que d'actifs de production d'énergie renouvelable. La société livre en toute sécurité une moyenne quotidienne de 2,8 millions de barils de pétrole brut par l'entremise de son réseau principal et de son réseau pipelinier Express. La société achemine près de 68 % de la production de pétrole brut canadien aux États-Unis et, en desservant les principaux bassins d'approvisionnement et marchés, quelque 20 % de tout le gaz naturel consommé aux États-Unis. Les services publics réglementés de la société comptent environ 3,5 millions de clients de détail en Ontario, au Québec, au Nouveau-Brunswick et dans l'État de New York. De plus, Enbridge poursuit son expansion dans le secteur des infrastructures électriques, ses participations dans des installations d'une capacité nette de production d'énergie renouvelable s'établissant à plus de 2 500 MW, ainsi que dans le secteur éolien extracôtier en Europe. Enbridge est inscrite à l'édition des huit dernières années du palmarès des 100 entreprises les plus engagées en faveur du développement durable dans le monde. Les actions ordinaires d'Enbridge sont inscrites à la cote des Bourses de Toronto et de New York sous le symbole ENB. La raison d'être d'Enbrige, qui a pour slogan « L'énergie, pour la vie », est d'alimenter la qualité de vie des Nord-Américains. Pour un complément d'information, consulter le www.enbridge.com. Aucune information contenue dans le site Web d'Enbridge ou y étant reliée n'est intégrée par renvoi au présent communiqué ni n'en fait partie. Le 4 mai 2017, le conseil d'administration d'Enbridge a déclaré les dividendes trimestriels suivants. Tous les dividendes sont payables le 1er juin 2017 aux actionnaires inscrits le 15 mai 2017. Le présent communiqué renferme des références au BAII ajusté, au bénéfice (à la perte) ajusté(e), au bénéfice (à la perte) ajusté(e) par action ordinaire, aux FTDLE et aux FTDLE par action ordinaire. Le BAII ajusté s'entend BAII ajusté pour exclure des facteurs inhabituels, non récurrents ou hors exploitation des données sectorielles ou consolidées. Le bénéfice (la perte) ajusté(e) représente le bénéfice ou la perte attribuable aux porteurs d'actions ordinaires ajusté(e) pour exclure les facteurs inhabituels, non récurrents ou hors exploitation inclus dans le BAII ajusté, ainsi que d'ajustements au titre de facteurs inhabituels, non récurrents ou hors exploitation relativement à la charge d'intérêts, aux impôts sur les bénéfices, aux participations ne donnant pas le contrôle et aux participations ne donnant pas le contrôle rachetables des données consolidées. Ces facteurs, assimilés à des éléments d'ajustement, sont rapprochés et décrits dans la section sur les résultats financiers du secteur d'activité touché du rapport de gestion de la société. Les FTDLE sont définis comme étant les flux de trésorerie provenant des activités d'exploitation avant les variations des actifs et des passifs d'exploitation (y compris les variations des passifs environnementaux), déduction faite des distributions aux participations ne donnant pas le contrôle et aux participations ne donnant pas le contrôle rachetables, des dividendes sur les actions privilégiées et des investissements de maintien, ainsi que des ajustements pour les facteurs inhabituels, non récurrents ou hors exploitation. La direction est d'avis que la présentation d'informations sur le BAII ajusté, le bénéfice (la perte) ajusté(e), le bénéfice (la perte) ajusté(e) par action ordinaire, les FTDLE et les FTDLE par action ordinaire fournit des renseignements utiles aux investisseurs et aux actionnaires puisqu'elle contribue à rehausser la transparence et donne un meilleur aperçu de la performance de la société. La direction se sert du BAII ajusté et du bénéfice (de la perte) ajusté(e) afin de fixer les objectifs de la société et d'évaluer le rendement de cette dernière. La direction a également recours aux FTDLE pour évaluer la performance de la société et pour déterminer le versement de dividendes ciblé. Le BAII ajusté, le BAII ajusté pour chacun des secteurs, le bénéfice (la perte) ajusté(e), le bénéfice (la perte) ajusté(e) par action ordinaire, les FTDLE et les FTDLE par action ordinaire sont des mesures qui n'ont pas de signification normalisée aux termes des principes comptables généralement reconnus des États-Unis d'Amérique (« PCGR des États-Unis ») et ne sont pas considérées comme des mesures conformes aux PCGR des États-Unis. Par conséquent, ces mesures ne sauraient être comparées aux mesures de même nature présentées par d'autres émetteurs. RAPPROCHEMENT DES MESURES NON CONFORMES AUX PCGR - BAII ET BÉNÉFICE AJUSTÉ RAPPROCHEMENT DES MESURES NON CONFORMES AUX PCGR - BAII AJUSTÉ ET FTDLE Pour faciliter la compréhension de la relation entre le BAII ajusté et les FTDLE, le tableau ci-après présente un rapprochement entre ces deux mesures clés non conformes aux PCGR. RAPPROCHEMENT DES MESURES NON CONFORMES AUX PCGR - FLUX DE TRÉSORERIE DISPONIBLES LIÉS À L'EXPLOITATION


News Article | May 11, 2017
Site: www.marketwired.com

CALGARY, ALBERTA--(Marketwired - May 11, 2017) - Enbridge Income Fund Holdings Inc. (the Company) (TSX:ENF) announced that the nominees listed in the Management Information Circular dated March 13, 2017 were elected as directors of the Company at the Annual Meeting held earlier today in Calgary, Alberta. Detailed results of the vote are set out below. On a vote by ballot, the following seven nominees were elected as directors of the Company to hold office until the end of the next annual meeting or until his or her successor is elected or appointed: Enbridge Income Fund Holdings Inc. is a publicly traded corporation. The Company, through its investment in Enbridge Income Fund (the Fund) indirectly holds high quality, low-risk energy infrastructure assets. The Fund's assets consist of a portfolio of Canadian liquids transportation and storage businesses, including the Canadian Mainline, the Regional Oil Sands System, the Canadian segment of the Southern Lights Pipeline, Class A units entitling the holder to receive defined cash flows from the US segment of the Southern Lights Pipeline, a 50 percent interest in the Alliance Pipeline, which transports natural gas from Canada to the U.S., and interests in more than 1,400 MW of renewable and alternative power generation assets. Information about Enbridge Income Fund Holdings Inc. is available on the Company's website at www.enbridgeincomefund.com.


News Article | May 11, 2017
Site: www.marketwired.com

Enbridge Income Fund Holdings Inc. (TSX:ENF) (ENF or the Company) announced first quarter earnings of $67 million, or $0.54 per common share. The Company holds a 66.9 percent ordinary trust unit (Fund Unit) interest in Enbridge Income Fund (the Fund) and an approximate 19.2 percent overall economic interest in the Fund Group. The Fund Group is comprised of the Fund, Enbridge Commercial Trust (ECT), Enbridge Income Partners LP (EIPLP) and the subsidiaries and investees of EIPLP. EIPLP holds the operating entities of the Fund Group. Fund Group ACFFO was $422 million for the three months ended March 31, 2017, with cash distributions paid of $403 million, resulting in a payout ratio of 95 percent of ACFFO. As anticipated, first quarter ACFFO was down versus the comparable period in 2016 due to a lower Canadian Mainline International Joint Tariff (IJT) Residual Benchmark Toll, though throughput in the quarter continued to be very strong. On April 1, 2017, the Canadian Mainline IJT Residual Benchmark Toll increased by US$0.15 per barrel and the higher toll is expected to be in place for the remainder of 2017, providing an uplift to ACFFO for the balance of the year. Strong performance from Alliance Pipeline's new services framework driven by high demand for seasonal firm service also contributed positively to ACFFO performance in the first quarter of 2017. "We are pleased with the results for the quarter, which set us up well to deliver on the Fund Group's 2017 ACFFO guidance range," said Company President Perry Schuldhaus. "Demand for the mainline continues to be strong, with record volumes of 2.6 million barrels per day ex-Gretna in the first quarter. We expect the balance of the year to benefit from continued strong demand for capacity and a higher mainline toll which took effect on April 1, 2017. This is expected to drive higher earnings and cash flow and result in a cash payout ratio for the full year well below our longer term target payout ratio of 90 percent of ACFFO." On May 1, 2017, the Norlite Pipeline project was placed into commercial service, on time and on budget. The project will initially carry up to 218 thousands of barrels per day (kbpd) of diluent from Edmonton, Alberta to producers in Northern Alberta, with the potential to be further expanded to approximately 465 kbpd of capacity with the addition of pump stations. The project is a joint venture with Keyera Corporation (Keyera), which owns a 30 percent non-operating interest in the project. The total project cost was $1.3 billion, with Keyera contributing 30 percent of the project's capital. "Thus far in 2017, the Fund Group has placed $2.2 billion of capital into service on budget and on schedule, and we expect to place another $1.5 billion into service before year end," said Mr. Schuldhaus. "These projects will generate highly reliable and predictable earnings and cash flow, and further strengthen our unparalleled portfolio of low-risk energy infrastructure. Utilization of our assets continues to be strong and, with additional organic growth to come, we remain very well positioned to deliver 10 percent annual dividend increases through 2019." On April 18, 2017, Enbridge and the Company closed on a $0.6 billion secondary offering of ENF common shares (the Offering). The Offering was consistent with Enbridge's stated goal to gradually reduce its economic interest in the Fund Group to approximately 80 percent by 2019. The Offering was well received by the market and is expected to improve the trading liquidity of ENF shares. The Company previously announced a 10 percent increase in its monthly dividend to $0.1711 per common share, commencing with the dividend payable in respect of January 2017. On May 9, 2017, the Company's Board of Directors also declared a monthly cash dividend of $0.1711 per common share to be paid on June 15, 2017 to shareholders of record at the close of business on May 31, 2017. These dividends are designated eligible dividends for Canadian tax purposes which qualify for the enhanced dividend tax credit. Eligible shareholders may elect to participate in the Company's Dividend Reinvestment and Share Purchase Plan (DRIP), where they may automatically reinvest their dividends in additional shares at a 2 percent discount to the share price without brokerage fees. Details of the DRIP are available on the Company's website. Shareholders who wish to participate in the DRIP should contact their investment dealer for further information and to enroll. This news release contains references to adjusted EBIT and ACFFO. Adjusted EBIT represents EIPLP EBIT, adjusted for unusual, non-recurring or non-operating factors on both a consolidated and segmented basis. These factors, referred to as adjusting items, are reconciled and discussed in the financial results sections of this news release. Fund Group ACFFO consists of adjusted EBIT further adjusted for non-cash items, representing cash flow from the Fund Group's underlying businesses, less deductions for maintenance capital expenditures, interest expense, and applicable taxes and further adjusted for unusual, non-recurring or non-operating factors not indicative of the underlying or sustainable cash flows of the business. ACFFO is important to unitholders as the Fund Group's objective is to provide a predictable flow of distributions to unitholders. ACFFO represents the Fund Group's cash available to fund distributions to unitholders, as well as for debt repayments and reserves. Management believes the presentation of adjusted EBIT and ACFFO are useful to investors and unitholders as they provide increased transparency and insight into the performance of the Company and the Fund Group. Management uses adjusted EBIT and ACFFO to set targets, including the distribution payout target, and to assess the performance of the Company and the Fund Group. Adjusted EBIT and ACFFO are not measures that have standardized meanings prescribed by generally accepted accounting principles in the United States of America (U.S. GAAP) and are not U.S. GAAP measures. Therefore, these measures may not be comparable with similar measures presented by other issuers. Please see the tables in the First Quarter 2017 Performance Overview section which summarize the reconciliations of the GAAP and non-GAAP measures. For more information on the operating results of the Company, the Fund and EIPLP, please see the respective Management's Discussion and Analysis on the Company's website at http://www.enbridgeincomefund.com/Find-Shareholder-Information/Reports-and-Filings/English.aspx. The documents are also filed on SEDAR under Enbridge Income Fund Holding Inc.'s profile for the Company and under Enbridge Income Fund's profile for the Fund and EIPLP. EIPLP's EBIT for the first quarter of 2017 was $619 million compared to $1,097 million for the same quarter of 2016. The comparability of EIPLP's earnings was impacted by a number of unusual, non-recurring or non-operating factors, the most significant of which relates to changes in unrealized derivative fair value gains and losses. Excluding the impact of unusual, non-recurring or non-operating factors, EIPLP's EBIT decreased for the first quarter of 2017, primarily as a result of lower contributions from the Liquids Pipelines segment, which was partially offset by stronger contributions from the Gas Pipelines segment. EIPLP adjusted EBIT for the first quarter of 2017 was $464 million compared to $553 million over the same period of 2016, reflecting a lower quarter-over-quarter average Canadian Mainline IJT Residual Benchmark Toll, which was US$1.47 as compared to US$1.63 in the first quarter of 2016. Effective April 1, 2017, the toll increased to US$1.62. Also contributing to lower adjusted EBIT was a lower foreign exchange hedge rate used to record Canadian Mainline revenues. The IJT Benchmark Toll and its components are set in United States dollars and the majority of EIPLP's foreign exchange risk on Canadian Mainline revenues is hedged. The effective hedge rate for the translation of Canadian Mainline United States dollar transactional revenues for the first quarter of 2017 was $1.04 compared with $1.11 for the corresponding 2016 period. The above noted negative impacts on Canadian Mainline adjusted EBIT were partially offset by higher throughput on the mainline system driven by strong oil sands production and downstream demand in the first quarter of 2017. Partially offsetting the quarter-over-quarter decrease were stronger contributions from the Gas Pipelines segment, driven by increased earnings at Alliance Pipeline primarily due to higher revenues resulting from strong demand for seasonal firm service. Fund Group ACFFO underpins the Fund Group's ability to pay distributions to holders of Fund Units, including the Company. The Fund Group's ACFFO decreased to $422 million for the three months ended March 31, 2017 from $515 million in the comparable period of 2016. Similar to adjusted EBIT, the decrease in ACFFO was driven by weaker contributions from EIPLP's Liquids Pipelines segment due to a lower quarter-over-quarter average Canadian Mainline IJT Residual Benchmark Toll and a lower foreign exchange hedge rate used to record Canadian Mainline revenues, discussed above in Adjusted EBIT. This decrease has resulted in a higher Fund Group payout ratio of 95% in the first quarter of 2017 compared to 75% in the corresponding period of 2016; however, following the increase in Canadian Mainline IJT Residual Benchmark Toll from US$1.47 to US$1.62 effective April 1, 2017, the Fund Group payout ratio is anticipated to decrease well below 90% for the balance of the year. The Company's distribution income represents substantially all of the Company's earnings and cash flows, and is derived from the Fund Group distributions paid to the Company. For the three months ended March 31, 2017, distribution income was $67 million, an increase of approximately 29 percent from the comparable period of 2016, as a result of the Company using proceeds from its April 2016 equity offering and proceeds from the Company's DRIP to invest in additional Fund Units. The following table summarizes the dividend rate and total dividends declared by the Company for the three months ended March 31, 2017 and 2016. On April 18, 2017, Enbridge completed the secondary offering of 17,347,750 ENF common shares at a price of $33.15 per share to the public for gross proceeds to Enbridge of approximately $0.6 billion (the Secondary Offering). Immediately prior to the closing of the Secondary Offering, Enbridge exchanged 21,657,617 Fund Units for an equivalent amount of ENF common shares. In order to maintain its 19.9 percent interest in the Company, Enbridge retained 4,309,867 of the common shares issued pursuant to such exchange and sold the remaining balance under the Secondary Offering. The Company did not receive any proceeds from the Secondary Offering and Enbridge paid all expenses and fees associated with the Secondary Offering. Upon closing of the transaction, Enbridge's economic interest in the Fund Group and the Company decreased from 86.9 percent to 84.6 percent and the Company's economic interest in the Fund Group increased from 16.4 percent to 19.2 percent. The Company will hold a joint conference call with Enbridge, Enbridge Energy Partners, L.P. and Spectra Energy Partners, LP on Thursday, May 11, 2017 at 9 a.m. Eastern Time (7 a.m. Mountain Time) to discuss the first quarter 2017 results. Analysts, members of the media and other interested parties can access the call toll-free at 1-866-215-5508 or outside North America at 1-514-841-2157 using the access code of 44798051#. The call will be audio webcast live at http://edge.media-server.com/m/p/9gxn6d2m. A webcast replay and podcast will be available approximately two hours after the conclusion of the event and a transcript will be posted to the website within approximately 24 hours. An audio replay will be available for seven days after the call toll-free at 1-888-843-7419 or outside North America at 1-630-652-3042 using the replay passcode 44798051#. The conference call will begin with presentations by Enbridge's President and Chief Executive Officer and the Chief Financial Officer, followed by a question and answer period with Enbridge and ENF management for investment analysts. Forward-looking information, or forward-looking statements, have been included in this news release to provide information about the Company and its investee, the Fund, and the Fund's direct and indirect investments and joint ventures (collectively, the Fund Group), including management's assessment of future plans and operations of the Company and the Fund Group. This information may not be appropriate for other purposes. Forward-looking statements are typically identified by words such as "anticipate", "expect", "project", "estimate", "forecast", "plan", "intend", "target", "believe", "likely" and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information or statements included or incorporated by reference in this document include, but are not limited to, statements with respect to the following: mainline system throughput; expected or target ACFFO; cash flows; equity capital requirements; in-service dates of projects; safety and reliability of pipeline systems; regulatory approvals; impact of the hedging program; shareholder returns; future dividends and distributions by the Fund; and dividend increases. Although the Company and the Fund Group believe these forward-looking statements are reasonable based on the information available on the date such statements are made and processes used to prepare the information, such statements are not guarantees of future performance and readers are cautioned against placing undue reliance on forward-looking statements. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such statements. Material assumptions include assumptions about the following: supply of and demand for crude oil, natural gas, natural gas liquids (NGL) and renewable energy; prices of crude oil, natural gas, NGL and renewable energy; exchange rates; completion of growth projects; inflation; interest rates; availability and price of labour and construction materials; operational reliability; customer and regulatory approvals; maintenance of support and regulatory approvals for the Fund Group's projects; anticipated in-service dates; weather; the impact of the dividend policy on the Company's or the Fund Group's future cash flows; capital project funding; the Fund Group's credit ratings; earnings before interest and taxes (EBIT) or adjusted EBIT; earnings/(loss) or adjusted earnings/(loss); earnings/(loss) per share; future cash flows and future ACFFO; and dividends or distributions. Assumptions regarding the expected supply of and demand for crude oil, natural gas, NGL and renewable energy, and the prices of these commodities, are material to and underlie all forward-looking statements. These factors are relevant to all forward-looking statements as they may impact current and future levels of demand for the Fund Group's services. Similarly, exchange rates, inflation and interest rates impact the economies and business environments in which the Company and the Fund Group operate and may impact levels of demand for the Fund Group's services and cost of inputs, and are therefore inherent in all forward-looking statements. Due to the interdependencies and correlation of these macroeconomic factors, the impact of any one assumption on a forward-looking statement cannot be determined with certainty, particularly with respect to earnings/(loss), adjusted EBIT, ACFFO and associated per share amounts or dividends or distributions. The most relevant assumptions associated with forward-looking statements on projects under construction, including completion dates and capital expenditures include the following: availability and price of labour and construction materials; effects of inflation and foreign exchange rates on labour and material costs; effects of interest rates on borrowing costs; and the impact of weather and customer, government and regulatory approvals on construction and in-service schedules and cost recovery regimes. The Company's and the Fund Group's forward-looking statements are subject to risks and uncertainties pertaining to future dividends, ACFFO guidance, operating performance, regulatory parameters, project approval and support, weather, economic and competitive conditions, public opinion, changes in tax laws and tax rates, exchange rates, interest rates, commodity prices, political decisions and supply of and demand for commodities, including but not limited to those risks and uncertainties discussed in this news release and in the Company's and the Fund Group's other filings with Canadian securities regulators. The impact of any one risk, uncertainty or factor on a particular forward-looking statement is not determinable with certainty as these are interdependent and the Company's or the Fund Group's future course of action depends on management's assessment of all information available at the relevant time. Except to the extent required by applicable law, the Company and the Fund Group assume no obligation to publicly update or revise any forward-looking statements made in this news release or otherwise, whether as a result of new information, future events or otherwise. All subsequent forward-looking statements, whether written or oral, attributable to the Company or the Fund Group or persons acting on the Company's or the Fund Group's behalf, are expressly qualified in their entirety by these cautionary statements. Enbridge Income Fund Holdings Inc. is a publicly traded corporation. The Company, through its investment in Enbridge Income Fund indirectly holds high quality, low-risk energy infrastructure assets. The Fund's assets consist of a portfolio of Canadian liquids transportation and storage businesses, including the Canadian Mainline, the Regional Oil Sands System, the Canadian segment of the Southern Lights Pipeline, Class A units entitling the holder to receive defined cash flows from the United States segment of the Southern Lights Pipeline, a 50 percent interest in the Alliance Pipeline, which transports natural gas from Canada to the U.S., and interests in more than 1,400 megawatts of renewable and alternative power generation assets. Information about Enbridge Income Fund Holdings Inc. is available on the Company's website at www.enbridgeincomefund.com. None of the information contained in, or connected to, the Company's website is incorporated in or otherwise forms part of this news release.


News Article | May 11, 2017
Site: www.marketwired.com

Enbridge Inc. (Enbridge or the Company) (TSX:ENB)(NYSE:ENB) today reported first quarter 2017 adjusted EBIT of $1,515 million. First quarter ACFFO was $1,215 million, or $1.03 per common share. These results reflect approximately one month of financial contribution from the assets acquired in the Spectra Energy merger transaction which closed on February 27, 2017. ACFFO per share for the first quarter of 2017 was lower than the first quarter of 2016 due to a number of factors including the timing of the closing of the Spectra Energy combination, the impact of warmer than normal weather on the Company's gas distribution franchises and transactions undertaken in 2016 to strengthen the balance sheet. The impact of the shares issued at closing of the merger transaction is amplified by the fact that the legacy Spectra Energy assets typically contribute a disproportionate share (25% to 30%) of their annual ACFFO in the first two months of the year. The impact of liquids mainline apportionment on the performance of downstream pipelines and changes in the effective foreign exchange rate also impacted the quarter-over-quarter results. The ACFFO contribution from Liquids Pipelines is expected to improve in future quarters as a result of planned capacity optimizations, an improved foreign exchange hedge rate and the impact of incremental cash flow from new projects being placed into service. Looking forward, the Company expects to generate consolidated ACFFO per share of between $3.60 and $3.90 for the full 2017 year. This guidance range reflects, among other factors, the positive impact of ongoing strength in Mainline crude oil volumes, the full year contributions of $2 billion of new growth projects coming into service during 2016 and partial year contributions from over $13 billion of new growth projects in 2017, as well as additional utility rate base growth, offset primarily by the seasonal impact of the timing of close of the Spectra Energy acquisition described above, the previously announced shipper-requested deferral of the Wood Buffalo Extension Project in-service date to December 1, 2017 and mild first quarter weather. "We were very pleased to complete the closing of the Spectra Energy combination in the first quarter and we are now in good position to capitalize on the strategic and financial merits of the transaction," said Al Monaco, President and Chief Executive Officer of Enbridge Inc. "After adjusting for the timing of the deal-close and other factors noted above, our 2017 full year run-rate and future outlook remains in line with our original assumptions and expectations for the post-Spectra Enbridge. Integration of the businesses is going well and we've made very good early progress in capturing the synergies from the transaction." Enbridge continued to progress the execution of its $27 billion secured growth capital program, and has brought $2.4 billion of projects into service thus far in 2017, including the Athabasca Twin pipeline, the Norlite diluent pipeline and the Jackfish Lake natural gas pipeline expansion. These projects all are supported by low-risk take-or-pay contracts or similar commercial arrangements that will generate highly predictable earnings and cash flow. Over the remainder of the year the Company expects to bring a further $11 billion of growth projects into service in 2017, primarily in the third and fourth quarters of the year, followed by another $4 billion of projects in 2018. Given the timing and return profiles of these projects, the full earnings and cash flow impacts will be seen in 2018 and beyond. In February 2017, Enbridge added to its secured project inventory with the announcement of the Hohe See Offshore Wind Project in Germany. As co-developer, Enbridge will participate in the construction and operation of the project. Once in service in late 2019, Enbridge's total investment in the project will be $1.7 billion (EUR1.07 billion). Also in February 2017, Enbridge closed the acquisition of a 27.6% interest in the Bakken Pipeline System. The System consists of the Dakota Access Pipeline and the Energy Transfer Crude Oil Pipeline projects and connects the prolific Bakken formation in North Dakota to eastern PADD II and the United States Gulf Coast. The pipelines are expected to go into service in the second quarter of 2017. On April 25, 2017, Enbridge launched a binding Open Season on its British Columbia Pipeline T-South system for delivery of an incremental 190 mmcf/d of natural gas into the Huntington/Sumas market at the Canadian/United States border. The system is currently fully contracted and an expansion is necessary to meet increasing customer demand as a result of rapidly growing production in the prolific Montney and Duvernay regions. The project would include looping of T-South and upgrades at compressor stations along the pipeline system at a cost of approximately $1 billion. Subject to the outcome of the Open Season, the project could be brought into service by late 2020. "These recent opportunities demonstrated the magnitude and diversity of our development pipeline," noted Mr. Monaco. "The Bakken Pipeline System enhances our presence in the Bakken and the United States Gulf Coast and will be accretive to ACFFO immediately in 2017. The Hohe See Offshore Wind Project illustrates the growth opportunities available to us in European Offshore wind. And through our early Open Season process on our western Canadian system we are expecting strong demand for the expansion of our T-South gas pipeline given the attractive fundamentals supporting natural gas production growth from the Montney and the Duvernay." During the first quarter of 2017, Enbridge further strengthened its liquidity and financial flexibility raising an additional $0.2 billion in committed term credit and close to $0.3 billion of new equity through its dividend reinvestment, "paid-in-kind" and "at the market" offering programs, across the Enbridge group. In March of 2017, the Company raised additional funds through sale of the Ozark pipeline for net proceeds of approximately $0.3 billion. In addition, Enbridge raised approximately $0.6 billion of equity with the sale of a portion of its interest in the Fund Group through a secondary offering of shares of ENF. The sale was in keeping with the Company's previously communicated objective to gradually increase the public's economic interest in the Fund Group to approximately 20% over time and increase ENF's public market capitalization and trading liquidity. Enbridge currently holds an 84.6% interest in the Fund Group and expects to retain a significant interest going forward. At the time of the announcement of the Spectra Energy merger in 2016, Enbridge also announced its intention to divest $2 billion of assets to strengthen the balance sheet and create further financing flexibility for the combined Company going forward. With the sale of the Ozark pipeline, completion of the ENF secondary offering and other asset sales completed in the fourth quarter of 2016, the Company has divested approximately $2.3 billion of assets, exceeding its previously announced target. The Company believes that well-structured sponsored vehicles will continue be an attractive alternative source of funding and an effective means through which to enhance value and returns on energy infrastructure assets held within the broader Enbridge group. In recent months, the Company has taken several actions to strengthen and streamline its sponsored vehicles including the simplification of DCP Midstream Partners, L.P. and the privatization of Midcoast Energy Partners, L.P. Most recently, on April 28, 2017, the Company announced the outcome of a strategic review of EEP, which resulted in the implementation of a number of restructuring actions to enhance the commercial and financial positon of EEP and restore its effectiveness as a Sponsored Vehicle. Through these actions, EEP will become a self-funding pure-play liquids pipeline Master Limited Partnership with a low-risk business model, highly visible embedded organic growth and a strong investment grade credit profile. Commenting on the conclusion of the EEP strategic review, Mr. Monaco noted, "EEP holds some of our most strategic and high-quality long-life critical infrastructure assets in North America. The restructuring actions will position EEP to create long term value for both its unitholders and Enbridge." In January 2017, Enbridge announced an increase in its quarterly common share dividend by 10% to $0.583 per share, marking the twenty-second consecutive year in which the Company has raised its dividend. On May 4, 2017, as previously contemplated, Enbridge further increased its quarterly common share dividend by approximately 5% to $0.61 per share, which in combination with the January dividend increase, provides a total increase of 15% above the prevailing quarterly rate in 2016. "Our confidence in providing a 15% dividend per share increase this year reflects the strength and stability of our base assets and a very positive longer term outlook for the combined business," noted Mr. Monaco. "Over the longer term, we expect that the strength and diversity of our existing asset base together with six strong growth platforms will enable Enbridge to deliver dividend growth in the range of 10% to 12% per annum through 2024." Mr. Monaco concluded, "We firmly believe that the newly combined company, with its low-risk business model and diversified platforms for growth, will create strong value for all of our stakeholders well into the next decade." For more information on Enbridge Inc.'s (Enbridge or the Company) growth projects and operating results, please see Management's Discussion and Analysis (MD&A) which is filed on SEDAR and EDGAR and also available on the Company's website at www.enbridge.com/InvestorRelations.aspx. For the three months ended March 31, 2017, EBIT was $1,629 million compared with $2,176 million for the three months ended March 31, 2016. As discussed below in Adjusted EBIT, the first quarter of 2017 earnings were positively impacted by the contributions from new assets following the completion of the Merger Transaction on February 27, 2017. The quarter-over-quarter decrease in EBIT was largely driven by the Liquids Pipelines segment, which delivered lower adjusted EBIT for the three months ended March 31, 2017, mainly attributable to a lower effective foreign exchange rate, the divestiture of certain Liquids Pipelines assets and a change in normalization policy for recording make-up rights. EBIT for the rest of the year is expected to be positively impacted by increased throughput optimization on the mainline system and the effect of new projects coming into service in 2017. The comparability of the Company's earnings quarter-over-quarter is also impacted by a number of unusual, non-recurring or non-operating factors that are enumerated in the Non-GAAP Reconciliation tables and discussed in the results for each reporting segment, the most significant of which are changes in unrealized derivative fair value gains and losses. For the three months ended March 31, 2017, the Company's EBIT reflected $416 million of unrealized derivative fair value gains compared with gains of $932 million in the corresponding 2016 period. The Company has a comprehensive long-term economic hedging program to mitigate interest rate, foreign exchange and commodity price risks which create volatility in short-term earnings. Over the long term, Enbridge believes its hedging program supports the reliable cash flows and dividend growth upon which the Company's investor value proposition is based. EBIT for the first quarter of 2017 also reflected charges of $152 million ($111 million after-tax) with respect to costs incurred in conjunction with the Merger Transaction, as well as $129 million ($92 million after-tax) of employee severance costs in relation to the Company's enterprise-wide reduction of workforce in March 2017 and restructuring costs in connection with the completion of the Merger Transaction. Earnings attributable to common shareholders were $638 million for the three months ended March 31, 2017, or earnings of $0.54 per common share, compared with $1,213 million, or earnings of $1.38 per common share, for the three months ended March 31, 2016. As further discussed in Adjusted EBIT, first quarter earnings were positively impacted by contributions from assets acquired following the completion of the Merger Transaction on February 27, 2017. In addition to the factors discussed in EBIT above and in Adjusted EBIT and Adjusted Earnings below, the quarter-over-quarter comparability of earnings attributable to common shareholders was impacted by a number of unusual, non-recurring and non-operating factors that are summarized under Non-GAAP Reconciliation - EBIT to Adjusted Earnings. A lower earnings per common share for the three months ended March 31, 2017 compared with the corresponding 2016 period also reflected the issuance of approximately 691 million common shares in February 2017 as part of the consideration for the Merger Transaction, and other issuances of approximately 75 million common shares in 2016, inclusive of 56 million common shares issued in March 2016. For the three months ended March 31, 2017, adjusted EBIT was $1,515 million, an increase of $141 million over the comparable period in 2016. The first quarter of 2017 adjusted EBIT reflected 33 days of results of operations from new assets following the completion of the Merger Transaction on February 27, 2017. Contributions from these new assets were the key driver for the quarter-over-quarter growth in consolidated adjusted EBIT. Growth in consolidated adjusted EBIT was most pronounced in the Gas Pipelines and Processing segment, where a majority of the new assets acquired through the Merger Transaction are reported. Quarter-over-quarter growth for this segment also reflected contributions from the Tupper Main and Tupper West gas plants acquired in April 2016, as well as higher adjusted EBIT from Alliance Pipeline that was driven by strong demand for seasonal firm service in the first quarter of 2017. Adjusted EBIT for Liquids Pipelines in the first quarter of 2017 was lower than the comparable period in 2016, attributable to several factors, including a lower quarter-over-quarter foreign exchange hedge rate used to record Canadian Mainline revenues. The IJT Benchmark Toll and its components are set in United States dollars and the majority of the Company's foreign exchange risk on Canadian Mainline revenues is hedged. The effective hedge rate for the translation of Canadian Mainline United States dollar transactional revenues for the first quarter of 2017 was $1.04 compared with $1.11 for the corresponding period in 2016. In addition, the Canadian dollar foreign exchange rate at which United States operations were translated strengthened from $1.37 in the first quarter of 2016 to $1.32 for the corresponding period in 2017. Further contributing to lower quarter-over-quarter EBIT was the sale of certain assets and reduced surcharges on the Bakken System and lower contributions on rail facilities owned by EEP due to expiry of contracts. In addition, EBIT generated by the United States Mid-Continent and Gulf Coast Systems were lower in the first quarter of 2017 as, effective January 1, 2017, the Company no longer adjusts for revenue that is deferred from certain take or pay tolling arrangements with make-up rights in its determination of adjusted EBIT. EBIT for the rest of the year is expected to be positively impacted by increased throughput optimization on the mainline system and the effect of new projects coming into service in 2017. Within the Gas Distribution segment, Enbridge Gas Distribution Inc. (EGD) generated lower adjusted EBIT in the first quarter of 2017 compared with the corresponding 2016 period, primarily due to lower distribution revenues attributable to warmer than normal weather in the first quarter of 2017. Effective January 1, 2017, EGD ceased to exclude the effect of warmer/colder weathers from its adjusted EBIT. The effect of the warmer weather in EGD's adjusted EBIT for the first quarter of 2017 was approximately $29 million. The quarter-over-quarter decrease in EGD's adjusted EBIT was more than offset by contributions from Union Gas since the completion of the Merger Transaction. Within Eliminations and Other, higher operating and administrative expenses drove an increase in the quarter-over-quarter adjusted loss. Operating and administrative costs were higher in the first quarter of 2017 due to higher information technology and other centralized service costs post integration with Spectra Energy and proportionally lower recoveries from business units during the quarter. Adjusted earnings were $675 million, or $0.57 per common share, for the three months ended March 31, 2017 compared with $663 million, or $0.76 per common share, for the three months ended March 31, 2016. Partially offsetting the quarter-over-quarter adjusted EBIT growth discussed above was higher interest expense as a result of debt assumed in the Merger Transaction. Preference share dividends were also higher quarter-over-quarter reflecting additional preference shares issued in the fourth quarter of 2016 to partially fund the Company's growth capital program. Income taxes were lower in the first quarter of 2017 despite the quarter-over-quarter increase in adjusted earnings due to a valuation allowance expense recorded in the first quarter of 2016. Adjusted earnings attributable to noncontrolling interests and redeemable noncontrolling interests increased in the first quarter of 2017 compared with the corresponding 2016 period. The increase was driven by additional noncontrolling interests in respect of the assets acquired in the Merger Transaction and an increase in earnings attributable to noncontrolling interests as a result of the EEP restructuring. Interest expense, income taxes and noncontrolling interests and redeemable noncontrolling interests were also impacted by adjustments for unusual, non-recurring and non-operating factors. Adjusted earnings per common share for the three months ended March 31, 2017 compared with the corresponding 2016 period also reflected the issuance of approximately 691 million common shares in February 2017 as part of the consideration for the Merger Transaction, and other issuances of approximately 75 million common shares in 2016, inclusive of 56 million common shares issued in March 2016. ACFFO for the first quarter of 2017 was $1,215 million, or $1.03 per common share, compared with $1,114 million, or $1.27 per common share, for the first quarter of 2016. The year-over-year growth in ACFFO amount was driven by the same factors as discussed in Adjusted EBIT above, as well as other items discussed below. However, ACFFO per common share has decreased quarter-over-quarter as the Company's ACFFO per common share was impacted by the increase in the number of common shares outstanding which resulted from the completion of the Merger Transaction on February 27, 2017, and other issuances in 2016, as noted above in Adjusted Earnings. Also contributing to the quarter-over-quarter increase in ACFFO were higher cash distributions that the Company received from its equity investments, resulting from their improved operating performance as well as distributions from newly acquired equity investments which were a part of the Merger Transaction. The above positive effects on ACFFO quarter-over-quarter were partially offset by higher maintenance capital expenditures in the first quarter of 2017, which reflected the spending on assets acquired in the Merger Transaction and a higher spending in Liquids Pipelines on certain leasehold improvements. The increase was partially offset by a decrease in maintenance capital expenditures in the Gas Distribution segment due to the timing of higher spending in 2016 on EGD's Work and Asset Management System (WAMS) program; and a decrease, excluding the effect of the Merger Transaction, in the Gas Pipelines and Processing segment due to a shift in the timing of maintenance capital expenditure to the later quarters of 2017. Also partially offsetting the increase in ACFFO was higher interest expense and higher preference share dividends in the first quarter of 2017, as discussed in Adjusted Earnings above. The increase in ACFFO quarter-over-quarter was also partially offset by increased distributions to noncontrolling interests related to assets acquired in the Merger Transaction, and to redeemable noncontrolling interests due to increased public ownership in the Fund Group (comprising the Enbridge Income Fund, Enbridge Commercial Trust, Enbridge Income Partners LP (EIPLP) and the subsidiaries and investees of EIPLP). Other non-cash adjustments include various non-cash items presented in the Company's Consolidated Statements of Cash Flows, as well as adjustments for unearned revenues received in each period. Forward-looking information, or forward-looking statements, have been included in this news release to provide information about the Company and its subsidiaries and affiliates, including management's assessment of Enbridge and its subsidiaries' future plans and operations. This information may not be appropriate for other purposes. Forward-looking statements are typically identified by words such as "anticipate", "expect", "project", "estimate", "forecast", "plan", "intend", "target", "believe", "likely" and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking information or statements included or incorporated by reference in this document include, but are not limited to, statements with respect to the following: expected EBIT or expected adjusted EBIT; expected earnings/(loss) or adjusted earnings/(loss); expected earnings/(loss) or adjusted earnings/(loss) per share; expected ACFFO or ACFFO per share; expected future cash flows; financial strength and flexibility; expected costs related to announced projects and projects under construction; expected in-service dates for announced projects and projects under construction; expected capital expenditures; expected equity funding requirements for the Company's commercially secured growth program; expected future growth and expansion opportunities; expected closing of acquisition and dispositions; estimated cost and impact to the Company's overall financial performance of complying with the settlement consent decree related to Line 6B and Line 6A; estimated future dividends; adjusted earnings per share guidance; ACFFO per share guidance; dividend per share growth guidance; expectations on impact of hedging program; expected future actions of regulators; expected costs related to leak remediation and potential insurance recoveries; expectations regarding commodity prices; supply forecasts; expectations regarding the impact of the Merger Transaction including the combined Company's scale, financial flexibility, growth program, future business prospects and performance; dividend payout policy; dividend growth; dividend payout expectation; strategic alternatives currently being evaluated in connection with the United States Sponsored Vehicle Strategy and the regulatory framework and recovery of deferred costs by Enbridge Gas New Brunswick Inc. Although Enbridge believes these forward-looking statements are reasonable based on the information available on the date such statements are made and processes used to prepare the information, such statements are not guarantees of future performance and readers are cautioned against placing undue reliance on forward-looking statements. By their nature, these statements involve a variety of assumptions, known and unknown risks and uncertainties and other factors, which may cause actual results, levels of activity and achievements to differ materially from those expressed or implied by such statements. Material assumptions include assumptions about the following: the expected supply of and demand for crude oil, natural gas, NGL and renewable energy; prices of crude oil, natural gas, NGL and renewable energy; exchange rates; inflation; interest rates; availability and price of labour and construction materials; operational reliability; customer and regulatory approvals; maintenance of support and regulatory approvals for the Company's projects; anticipated in-service dates; weather; the realization of anticipated benefits and synergies of the Merger Transaction, governmental legislation, acquisitions and the timing thereof; the success of integration plans; cost of complying with the settlement consent decree related to Line 6B and Line 6A; impact of the dividend policy on the Company's future cash flows; credit ratings; capital project funding; expected EBIT or expected adjusted EBIT, expected earnings/(loss) or adjusted earnings/(loss); expected earnings/(loss) or adjusted earnings/(loss)per share; expected future cash flows and expected future ACFFO and ACFFO per share; and estimated future dividends. Assumptions regarding the expected supply of and demand for crude oil, natural gas, NGL and renewable energy, and the prices of these commodities, are material to and underlie all forward-looking statements. These factors are relevant to all forward-looking statements as they may impact current and future levels of demand for the Company's services. Similarly, exchange rates, inflation and interest rates impact the economies and business environments in which the Company operates and may impact levels of demand for the Company's services and cost of inputs, and are therefore inherent in all forward-looking statements. Due to the interdependencies and correlation of these macroeconomic factors, the impact of any one assumption on a forward-looking statement cannot be determined with certainty, particularly with respect to the impact of the Merger Transaction on the Company, expected EBIT, adjusted EBIT, earnings/(loss), adjusted earnings/(loss), ACFFO and associated per share amounts, or estimated future dividends. The most relevant assumptions associated with forward-looking statements on announced projects and projects under construction, including estimated completion dates and expected capital expenditures, include the following: the availability and price of labour and construction materials; the effects of inflation and foreign exchange rates on labour and material costs; the effects of interest rates on borrowing costs; the impact of weather; and customer, government and regulatory approvals on construction and in-service schedules and cost recovery regimes. Enbridge's forward-looking statements are subject to risks and uncertainties pertaining to the impact of the Merger Transaction, adjusted EBIT, adjusted earnings and adjusted earnings per share guidance, ACFFO and ACFFO per share guidance, dividend per share growth guidance, operating performance, dividend policy, regulatory parameters, project approval and support, renewals of rights of way, weather, economic and competitive conditions, public opinion, changes in tax laws and tax rates, exchange rates, interest rates, commodity prices, supply of and demand for commodities, and the settlement consent decree related to Line 6B and Line 6A, including but not limited to those risks and uncertainties discussed in this news release and in the Company's other filings with Canadian and United States securities regulators. The impact of any one risk, uncertainty or factor on a particular forward-looking statement is not determinable with certainty as these are interdependent and Enbridge's future course of action depends on management's assessment of all information available at the relevant time. Except to the extent required by applicable law, Enbridge assumes no obligation to publicly update or revise any forward-looking statements made in this news release or otherwise, whether as a result of new information, future events or otherwise. All subsequent forward-looking statements, whether written or oral, attributable to Enbridge or persons acting on the Company's behalf, are expressly qualified in their entirety by these cautionary statements. Enbridge will hold a joint conference call on Thursday, May 11, 2017 at 9:00 a.m. Eastern Time (7:00 a.m. Mountain Time) with Enbridge Income Fund Holdings Inc., Enbridge Energy Partners, L.P., and Spectra Energy Partners, L.P. to discuss the first quarter 2017 results. Analysts, members of the media and other interested parties can access the call toll-free at 1-866-215-5508 or within and outside North America at 1-514-841-2157 using the access code of 44798051#. The call will be audio webcast live at http://edge.media-server.com/m/p/9gxn6d2m. A webcast replay and podcast will be available approximately two hours after the conclusion of the event and a transcript will be posted to the website within 24 hours. The replay will be available for seven days after the call at toll-free 1-888-843-7419 or within and outside North America at 1-630-652-3042 (access code 44798051#). The conference call will begin with presentations by the Company's President and Chief Executive Officer and the Chief Financial Officer, followed by a question and answer period for investment analysts. Enbridge is North America's premier energy infrastructure company with strategic business platforms that include an extensive network of crude oil, liquids and natural gas pipelines, regulated natural gas distribution utilities and renewable power generation. The Company safely delivers an average of 2.8 million barrels of crude oil each day through its Mainline and Express Pipeline, and accounts for nearly 68% of United States-bound Canadian crude oil production, and moves approximately 20% of all natural gas consumed in the United States serving key supply basins and demand markets. The Company's regulated utilities serve approximately 3.5 million retail customers in Ontario, Quebec, New Brunswick and New York State. Enbridge also has a growing involvement in electricity infrastructure with interests in more than 2,500 MW of net renewable generating capacity, and an expanding offshore wind portfolio in Europe. The Company has ranked on the Global 100 Most Sustainable Corporations index for the past eight years; its common shares trade on the Toronto and New York stock exchanges under the symbol ENB. Life takes energy and Enbridge exists to fuel people's quality of life. For more information, visit www.enbridge.com. None of the information contained in, or connected to, Enbridge's website is incorporated in or otherwise part of this news release. On May 4, 2017, the Enbridge Board of Directors declared the following quarterly dividends. All dividends are payable on June 1, 2017, to shareholders of record on May 15, 2017. This news release contains references to adjusted EBIT, adjusted earnings/(loss), adjusted earnings/(loss) per common share, ACFFO, and ACFFO per common share. Adjusted EBIT represents EBIT adjusted for unusual, non-recurring or non-operating factors on both a consolidated and segmented basis. Adjusted earnings/(loss) represents earnings or loss attributable to common shareholders adjusted for unusual, non-recurring or non-operating factors included in adjusted EBIT, as well as adjustments for unusual, non-recurring or non-operating factors in respect of interest expense, income taxes, noncontrolling interests and redeemable noncontrolling interests on a consolidated basis. These factors, referred to as adjusting items, are reconciled and discussed in the financial results sections for the affected business segments in the Company's MD&A. ACFFO is defined as cash flow provided by operating activities before changes in operating assets and liabilities (including changes in environmental liabilities) less distributions to noncontrolling interests and redeemable noncontrolling interests, preference share dividends and maintenance capital expenditures, and further adjusted for unusual, non-recurring or non-operating factors. Management believes the presentation of adjusted EBIT, adjusted earnings/(loss), adjusted earnings/(loss) per common share, ACFFO and ACFFO per common share gives useful information to investors and shareholders as they provide increased transparency and insight into the performance of the Company. Management uses adjusted EBIT and adjusted earnings/(loss) to set targets and to assess the performance of the Company. Management also uses ACFFO to assess the performance of the Company and to set its dividend payout target. Adjusted EBIT, adjusted EBIT for each segment, adjusted earnings/(loss), adjusted earnings/(loss) per common share, ACFFO and ACFFO per common share are not measures that have standardized meaning prescribed by generally accepted accounting principles in the United States of America (U.S. GAAP) and are not U.S. GAAP measures. Therefore, these measures may not be comparable with similar measures presented by other issuers. To facilitate understanding of the relationship between adjusted EBIT and ACFFO, the following table provides a reconciliation of these two key non-GAAP measures.


Schapira D.O.S.,Alliance Pipeline Ltd
Proceedings of the Biennial International Pipeline Conference, IPC | Year: 2014

Alliance Pipeline operates an integrated Canadian and U.S. high-pressure, rich natural gas transmission pipeline system. Rich natural gas pipelines are unique in that the product transported in these pipelines contains greater amounts of higher molecular weight hydrocarbons than would be transported in a dry natural gas pipeline. The specifications for gas quality however are very similar and require the product to contain less than sixty five mg/m3 water, no free liquids and/or objectionable materials such as bacteria, ashphaltene, gum, etc. The acid gases, carbon dioxide and hydrogen sulphide, are also required to be below certain values (see Table 1). Corrosion is not expected to occur under these conditions due to the lack of free water available for the development of an electrochemical corrosion cell. However, there are instances where the gas quality may vary and this gas enters facility piping for short periods of time. A method has been developed by Pipeline Research Council International (PRCI) to determine the internal corrosion susceptibility for dry gas natural gas there are currently no industry pipelines but accepted models which determine the internal corrosion susceptibility for high energy natural gas (HENG) pipeline systems. Accordingly, it is important for operators of pipelines with high energy natural gas (HENG) to collect and analyze these off specification events and develop a method to determine the relative impact on internal corrosion susceptibility. It is perhaps more important for operators to use this method to develop a strategy to prioritize facility piping for inspection and confirm the absence of internal corrosion. An Internal Corrosion Susceptibility Assessment (ICSA) method has been developed for HENG which considers off specification water, carbon dioxide, and hydrogen sulphide contents in the HENG. The analysis has been enhanced to also consider low temperature operation and hydrocarbon dew-point variations. The model has been effectively trialed over the last number of years to prioritize inspections and has been further tested against PRCI research and models developed for dry gas internal corrosion susceptibility. All internal corrosion models need to identify free water as prime contributor to susceptibility, thus the subject model is considered adaptable to other gas pipeline systems. This paper discusses the methods used to develop the model, the challenges encountered and results of the field inspections conducted. Copyright © 2014 by ASME.

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